We explore the impact of firm’s constrained access to external finance on their employment decisions. The theory posits that in the presence of financial constraints, firms heavily rely on their internal finances. Thus, financial constraints are expected to have a negative impact on...

We study the relationship between financing constraints and the work- force composition of firms that employ both casual and non-casual workers. We use data on Australian firms from 2009-2014 and a more direct measure of firm financial constraint than previous studies. We show that the...