Fraisse, Henri; Kramarz, Francis; Prost, Corinne - Institute for the Study of Labor (IZA) - 2011
About one in four workers challenges her dismissal in front of a labor court in France. Using a data set of individual … instruments, we show that labor court decisions have a causal effect on labor flows. More trials and more cases won by the workers … cause more job destructions. More settlements, higher filing rates, and a larger fraction of workers represented by a lawyer …