Biographical note: Stephen R. Barley is Charles M. Pigott Professor of Management Science and Engineering and Co-Director of the Center for Work, Technology and Organization at Stanford's School of Engineering. Gideon Kunda is Associate Professor in the Department of Labor Studies at Tel Aviv...

In this paper, we present evidence on how employers in developing and emerging economies perceive employment regulations and react to them. We use harmonized surveys of about 10,800 firms around the world, supplemented by indicators of the stringency of employment protection that summarize...