Please use this identifier to cite or link to this item:
http://dspace.mediu.edu.my:8181/xmlui/handle/10419/19083| Title: | Severance pay and the shadow of the law : evidence for West Germany |
| Keywords: | H24 K31 C24 C23 J65 ddc:330 severance pay labour law taxation sample selection survey data Abfindung Kündigungsschutz Steuerrechtsprechung Spieltheorie Schätzung Theorie Deutschland |
| Issue Date: | 16-Oct-2013 |
| Publisher: | |
| Description: | Due to the complexity of employment protection legislation (EPL) in Germany, there is notable uncertainty about the outcomes of dismissal conflicts. In this study we focus on severance pay and inquire whether its incidence and level varies in a systematic manner with the legal rules as defined by labour as well as tax law. We start with a theoretical model that generates the main observable outcomes of dismissal conflicts as potential equilibrium situations. Using German panel data (GSOEP), we put our theoretical model to an empirical test. Our main result is that the shadow of the law matters. Criteria regarding the validity of dismissals either found in respective legislation or defined by labour courts significantly affect the incidence and magnitude of severance pay. Moreover, restrictive changes in the taxation of severance pay have a negative causal impact on its incidence. |
| URI: | http://koha.mediu.edu.my:8181/xmlui/handle/10419/19083 |
| Other Identifiers: | http://hdl.handle.net/10419/19083 ppn:509704913 |
| Appears in Collections: | EconStor |
Files in This Item:
There are no files associated with this item.
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.