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abstract: 'Flexibility proponents assert that rigid Latin American labour markets
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impede economic expansion and job growth; they advocate reforming labour
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codes through increased flexibility. Critics argue that heightened
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labour flexibility exacerbates inequality without expanding employment.
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From this perspective, precarious employment and inequality are remedied
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by strengthening labour''s bargaining power. Chile''s maintenance of
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flexible labour reforms adopted during the dictatorship make it
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appropriate for evaluating these competing perspectives. Based on
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flexibility proponents'' predictions, we should expect increased formal
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sector employment over time, particularly among the least skilled
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Chilean workers, as well as reduced wage inequality. Yet, the rate of
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unemployment among least skilled workers in Chile remains essentially
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unchanged since the democratic transition as does income inequality.
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These conditions persist despite a high degree of labour market
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flexibility. Thus, Chile''s continued adherence to a flexibilised labour
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market should be understood not in terms of its capacity to reduce
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inequality or generate employment. Rather, it should be understood as
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the product of several interrelated factors: (1) the business sector''s
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ability to protect its interests; (2) the Concertacion''s conscious
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limitation of threats to the business sector''s interests and (3) the
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weakness of organised labour, resulting from the perpetuation of the
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Pinochet-era labour regime.'
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affiliation: 'Posner, PW (Corresponding Author), Clark Univ, Dept Polit Sci, Worcester,
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MA 01610 USA.
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Posner, Paul W., Clark Univ, Dept Polit Sci, Worcester, MA 01610 USA.'
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author: Posner, Paul W.
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author-email: pposner@clarku.edu
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author_list:
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- family: Posner
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given: Paul W.
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da: '2023-09-28'
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doi: 10.1080/13563467.2016.1216534
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eissn: 1469-9923
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files: []
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issn: 1356-3467
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journal: NEW POLITICAL ECONOMY
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keywords: 'Chile; labour flexibility; income inequality; employment; union
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bargaining power'
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keywords-plus: 'NEOLIBERAL ERA; LATIN-AMERICA; DEMOCRACY; TRANSFORMATION; STRATEGIES;
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POLICY'
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language: English
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number: '2'
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number-of-cited-references: '65'
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pages: 237-256
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papis_id: 0c977dc4815462e73737d9e10f3fdd05
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ref: Posner2017labourmarket
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times-cited: '8'
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title: 'Labour market flexibility, employment and inequality: lessons from Chile'
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type: Article
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unique-id: WOS:000396558600008
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usage-count-last-180-days: '1'
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usage-count-since-2013: '23'
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volume: '22'
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web-of-science-categories: Economics; International Relations; Political Science
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year: '2017'
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