Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/310404 
Year of Publication: 
2024
Series/Report no.: 
Working Papers No. 2024-20
Publisher: 
Banco de México, Ciudad de México
Abstract: 
This paper investigates the impact of Mexico's labor outsourcing partial ban on formal workers' labor market outcomes. Using longitudinal administrative data and an event-study framework, we analyze the evolution of employment and wages before and after the reform. The findings show that post-reform, regularized workers were more likely to retain their positions in the private formal job sector compared to a counterfactual scenario without the reform. Moreover, due to the reform, wages for workers directly affected increased by 3-4%, with significant variation across gender, age, industry, firm size, and region, indicating a heterogeneous response to the reform. These findings underscore the varied impacts of outsourcing restrictions on different segments of the labor market, providing valuable insights into the implications of labor market regulations on employment stability and wage growth.
Subjects: 
Outsourcing
Formal Workers
Labor Market
Employment
Wages
JEL: 
J31
J38
J46
J81
K31
Document Type: 
Working Paper
Appears in Collections:

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.