ADB亚洲开发银行：放松对工作保护的监管：来自意大利的生产力和收入分配证据（英文版）

This paper investigates the impact of job protection deregulation on firms’ productivity, leveraging a size-based cutoff in the eligibility criteria of a pivotal 2014 labor market reform in Italy. The reform replaced reinstatement requirements with a progressive compensation system for unjust dismissals of new hires in firms with more than 15 employees, while leaving smaller firms unaffected. We find that total factor productivity increased by 1% in treated firms relative to control firms, on