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    Transitions between informal and formal employment: results from a worker survey in Bangladesh

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    Date
    2019-02-13
    Publisher
    © 2019 Springer Berlin Heidelberg
    Author
    Gutierrez, Italo A.
    Kumar, Krishna B.
    Mahmud, Minhaj
    Munshi, Farzana
    Nataraj, Shanthi
    Metadata
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    URI
    http://hdl.handle.net/10361/12458
    Citation
    Gutierrez, I. A., Kumar, K. B., Mahmud, M., Munshi, F., & Nataraz, S. (2019). Transitions between informal and formal employment: results from a worker survey in Bangladesh. IZA Journal of Development and Migration, 9(1). doi:https://doi.org/10.1186/s40176-019-0141-2
    Abstract
    We study transitions between different types of formal and informal employment using retrospective job histories from a new survey in Bangladesh. Workers transitioning between jobs are most likely to remain in the same type of employment, although there is still substantial churn across employment types. Private wage employees have higher probability of transitioning to a new job, and changes in earnings and benefits suggest evidence of upward mobility. Nevertheless, there is also non-trivial risk of downward mobility, especially for those transitioning into casual employment, which has the lowest level of earnings and benefits and the highest levels of exposure to workplace hazards and violence. Overall, the informal sector appears to include sub-populations consistent with both the traditional view that it is a segmented portion of the labor market with few prospects of upward mobility, and with the alternative view that it is a dynamic, entrepreneurial alternative to wage employment.
    Keywords
    Informal labor; Self-employment; Casual workers; Job transitions; Working conditions; Job benefits
     
    Description
    This article was published in IZA Journal of Development and Migration [© 2019 Springer Berlin Heidelberg] and the definite version is available at: https://doi.org/10.1186/s40176-019-0141-2 The Journal's website is at: https://link.springer.com/article/10.1186/s40176-019-0141-2
    Publisher Link
    https://link.springer.com/article/10.1186/s40176-019-0141-2
    DOI
    https://doi.org/10.1186/s40176-019-0141-2
    Department
    Department of Economics and Social Sciences, Brac University
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