How do notice periods affect labour market outcomes?

The project examines how mandated notice periods affect workers’ outcomes after displacement. The analysis is based on a 1997 reform of the Swedish Employment Protection Act (LAS). Before the reform, the length of the notice period was determined by the worker’s age, whereas after the reform it was based on tenure with the employer.

The researchers use Swedish register data on workers, employment, and firms from Statistics Sweden. Among other things, they examine how changes in notice periods affect the probability of finding a new job and the wage in the subsequent job. By comparing groups that were affected differently by the reform, the project assesses the consequences of the length of the notice period for labor market outcomes.

Project leader

Peter Fredriksson

Other project participants

Henrik Hällerfors