Enforceability of Labor Law : Evidence from a Labor Court in Mexico

The authors analyze lawsuits involving publicly-appointed lawyers in a labor court in Mexico to study how a rigid law is enforced. They show that, even after a judge has awarded something to a worker alleging unjust dismissal, the award goes uncoll...

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Main Authors: Kaplan, David S., Sadka, Joyce
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2008/01/8956991/enforceability-labor-law-evidence-labor-court-mexico
http://hdl.handle.net/10986/6488
id okr-10986-6488
recordtype oai_dc
spelling okr-10986-64882021-04-23T14:02:31Z Enforceability of Labor Law : Evidence from a Labor Court in Mexico Kaplan, David S. Sadka, Joyce ACCESS TO LEGAL SERVICES ACCURATE INFORMATION ACTIONS ADJUDICATION ADMINISTRATIVE COURTS AGENCY PROBLEM ARTICLES ASSETS BANKRUPTCY BANKRUPTCY CODE BANKRUPTCY LAW BINDING BRANCH BURDEN OF PROOF CHILD SUPPORT CHILD SUPPORT PAYMENTS CLAIM CLAIMANTS CONFIDENCE CONSUMER BANKRUPTCY CONSUMER DEBT CONTINGENCY FEE CONTINGENCY FEES CORPORATIONS CORRUPTION COURT EMPLOYEE COURT JUDGMENT COURT JUDGMENTS COURT PERSONNEL COURT RULING COURT RULINGS COURT SYSTEM CREDITOR DEPENDENT DERIVATIVE DESCRIPTION DOCUMENTS EMPLOYMENT ENFORCEABILITY ENFORCEMENT MECHANISMS ENFORCEMENT OF JUDGMENTS ENTREPRENEURSHIP ENTRY EQUITY INVESTMENTS FEDERAL GOVERNMENT FILING FINANCIAL TRANSACTIONS FIRMS GENDER GOVERNMENT REGULATIONS IMMEDIATE PAYMENT INTELLECTUAL PROPERTY INTELLECTUAL PROPERTY RIGHTS JUDGE JUDGES JUDICIAL PROCESS JUDICIAL SYSTEM JURISDICTION JURISDICTIONS LABOR COURT LABOR COURTS LABOR LAW LAWYER LAWYERS LEGAL FRAMEWORK LEGAL SERVICES LEGAL STUDIES LEGAL SYSTEM LEGAL SYSTEMS LEGISLATION LITIGATION MANDATES MEDIATION NEGOTIATION NEGOTIATIONS NOTATION NUMBER OF ASSETS OUT-OF-COURT SETTLEMENT PARTY PAYOFF PAYOFFS PRIVATE LAWYERS PROBABILITIES PROBABILITY PROPERTY RIGHTS PROSECUTORS PUBLIC PROSECUTORS RULE OF LAW RULINGS SALARY SALE OF ASSETS SETTLEMENTS SMALL FIRMS TITLE TRIAL TRIALS USERS WAGES WEB WORKER CLAIMS The authors analyze lawsuits involving publicly-appointed lawyers in a labor court in Mexico to study how a rigid law is enforced. They show that, even after a judge has awarded something to a worker alleging unjust dismissal, the award goes uncollected 56 percent of the time. Workers who are dismissed after working more than seven years, however, do not leave these awards uncollected because their legally-mandated severance payments are larger. A simple theoretical model is used to generate predictions on how lawsuit outcomes should depend on the information available to the worker and on the worker's cost of collecting an award after trial, both of which are determined in part by the worker's lawyer. Differences in outcomes across lawyers are consistent with the hypothesis that firms take advantage both of workers who are poorly informed and of workers who find it more costly to collect an award after winning at trial. 2012-05-25T22:03:14Z 2012-05-25T22:03:14Z 2008-01 http://documents.worldbank.org/curated/en/2008/01/8956991/enforceability-labor-law-evidence-labor-court-mexico http://hdl.handle.net/10986/6488 English Policy Research Working Paper; No. 4483 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Mexico
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ACCESS TO LEGAL SERVICES
ACCURATE INFORMATION
ACTIONS
ADJUDICATION
ADMINISTRATIVE COURTS
AGENCY PROBLEM
ARTICLES
ASSETS
BANKRUPTCY
BANKRUPTCY CODE
BANKRUPTCY LAW
BINDING
BRANCH
BURDEN OF PROOF
CHILD SUPPORT
CHILD SUPPORT PAYMENTS
CLAIM
CLAIMANTS
CONFIDENCE
CONSUMER BANKRUPTCY
CONSUMER DEBT
CONTINGENCY FEE
CONTINGENCY FEES
CORPORATIONS
CORRUPTION
COURT EMPLOYEE
COURT JUDGMENT
COURT JUDGMENTS
COURT PERSONNEL
COURT RULING
COURT RULINGS
COURT SYSTEM
CREDITOR
DEPENDENT
DERIVATIVE
DESCRIPTION
DOCUMENTS
EMPLOYMENT
ENFORCEABILITY
ENFORCEMENT MECHANISMS
ENFORCEMENT OF JUDGMENTS
ENTREPRENEURSHIP
ENTRY
EQUITY INVESTMENTS
FEDERAL GOVERNMENT
FILING
FINANCIAL TRANSACTIONS
FIRMS
GENDER
GOVERNMENT REGULATIONS
IMMEDIATE PAYMENT
INTELLECTUAL PROPERTY
INTELLECTUAL PROPERTY RIGHTS
JUDGE
JUDGES
JUDICIAL PROCESS
JUDICIAL SYSTEM
JURISDICTION
JURISDICTIONS
LABOR COURT
LABOR COURTS
LABOR LAW
LAWYER
LAWYERS
LEGAL FRAMEWORK
LEGAL SERVICES
LEGAL STUDIES
LEGAL SYSTEM
LEGAL SYSTEMS
LEGISLATION
LITIGATION
MANDATES
MEDIATION
NEGOTIATION
NEGOTIATIONS
NOTATION
NUMBER OF ASSETS
OUT-OF-COURT SETTLEMENT
PARTY
PAYOFF
PAYOFFS
PRIVATE LAWYERS
PROBABILITIES
PROBABILITY
PROPERTY RIGHTS
PROSECUTORS
PUBLIC PROSECUTORS
RULE OF LAW
RULINGS
SALARY
SALE OF ASSETS
SETTLEMENTS
SMALL FIRMS
TITLE
TRIAL
TRIALS
USERS
WAGES
WEB
WORKER CLAIMS
spellingShingle ACCESS TO LEGAL SERVICES
ACCURATE INFORMATION
ACTIONS
ADJUDICATION
ADMINISTRATIVE COURTS
AGENCY PROBLEM
ARTICLES
ASSETS
BANKRUPTCY
BANKRUPTCY CODE
BANKRUPTCY LAW
BINDING
BRANCH
BURDEN OF PROOF
CHILD SUPPORT
CHILD SUPPORT PAYMENTS
CLAIM
CLAIMANTS
CONFIDENCE
CONSUMER BANKRUPTCY
CONSUMER DEBT
CONTINGENCY FEE
CONTINGENCY FEES
CORPORATIONS
CORRUPTION
COURT EMPLOYEE
COURT JUDGMENT
COURT JUDGMENTS
COURT PERSONNEL
COURT RULING
COURT RULINGS
COURT SYSTEM
CREDITOR
DEPENDENT
DERIVATIVE
DESCRIPTION
DOCUMENTS
EMPLOYMENT
ENFORCEABILITY
ENFORCEMENT MECHANISMS
ENFORCEMENT OF JUDGMENTS
ENTREPRENEURSHIP
ENTRY
EQUITY INVESTMENTS
FEDERAL GOVERNMENT
FILING
FINANCIAL TRANSACTIONS
FIRMS
GENDER
GOVERNMENT REGULATIONS
IMMEDIATE PAYMENT
INTELLECTUAL PROPERTY
INTELLECTUAL PROPERTY RIGHTS
JUDGE
JUDGES
JUDICIAL PROCESS
JUDICIAL SYSTEM
JURISDICTION
JURISDICTIONS
LABOR COURT
LABOR COURTS
LABOR LAW
LAWYER
LAWYERS
LEGAL FRAMEWORK
LEGAL SERVICES
LEGAL STUDIES
LEGAL SYSTEM
LEGAL SYSTEMS
LEGISLATION
LITIGATION
MANDATES
MEDIATION
NEGOTIATION
NEGOTIATIONS
NOTATION
NUMBER OF ASSETS
OUT-OF-COURT SETTLEMENT
PARTY
PAYOFF
PAYOFFS
PRIVATE LAWYERS
PROBABILITIES
PROBABILITY
PROPERTY RIGHTS
PROSECUTORS
PUBLIC PROSECUTORS
RULE OF LAW
RULINGS
SALARY
SALE OF ASSETS
SETTLEMENTS
SMALL FIRMS
TITLE
TRIAL
TRIALS
USERS
WAGES
WEB
WORKER CLAIMS
Kaplan, David S.
Sadka, Joyce
Enforceability of Labor Law : Evidence from a Labor Court in Mexico
geographic_facet Latin America & Caribbean
Mexico
relation Policy Research Working Paper; No. 4483
description The authors analyze lawsuits involving publicly-appointed lawyers in a labor court in Mexico to study how a rigid law is enforced. They show that, even after a judge has awarded something to a worker alleging unjust dismissal, the award goes uncollected 56 percent of the time. Workers who are dismissed after working more than seven years, however, do not leave these awards uncollected because their legally-mandated severance payments are larger. A simple theoretical model is used to generate predictions on how lawsuit outcomes should depend on the information available to the worker and on the worker's cost of collecting an award after trial, both of which are determined in part by the worker's lawyer. Differences in outcomes across lawyers are consistent with the hypothesis that firms take advantage both of workers who are poorly informed and of workers who find it more costly to collect an award after winning at trial.
format Publications & Research :: Policy Research Working Paper
author Kaplan, David S.
Sadka, Joyce
author_facet Kaplan, David S.
Sadka, Joyce
author_sort Kaplan, David S.
title Enforceability of Labor Law : Evidence from a Labor Court in Mexico
title_short Enforceability of Labor Law : Evidence from a Labor Court in Mexico
title_full Enforceability of Labor Law : Evidence from a Labor Court in Mexico
title_fullStr Enforceability of Labor Law : Evidence from a Labor Court in Mexico
title_full_unstemmed Enforceability of Labor Law : Evidence from a Labor Court in Mexico
title_sort enforceability of labor law : evidence from a labor court in mexico
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2008/01/8956991/enforceability-labor-law-evidence-labor-court-mexico
http://hdl.handle.net/10986/6488
_version_ 1764400188682665984