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Does stricter employment protection legislation promote self-employment?

Robson, M.T.

Does stricter employment protection legislation promote self-employment? Thumbnail



Using recently developed indicators of the strictness of employment protection legislation in OECD countries, the paper examines the issue of whether strict employment protection legislation may promote self-employment by encouraging employers to contract-out work to self-employed workers. Contrary to the results of previous studies, the paper finds little evidence for a positive relationship between self-employment and the strictness of EPL. While the raw data suggest that a positive relationship may indeed exist, once suitable control variables are introduced into the analysis, it appears that if anything, the opposite may be true: i.e. stricter employment protection legislation may actually reduce self-employment.

Journal Article Type Article
Publication Date Nov 1, 2003
Deposit Date Aug 26, 2008
Publicly Available Date Aug 26, 2008
Journal Small Business Economics
Print ISSN 0921-898X
Electronic ISSN 1573-0913
Publisher Springer
Peer Reviewed Peer Reviewed
Volume 21
Issue 3
Pages 309-319
Public URL


Accepted Journal Article (51 Kb)

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