Article ID Journal Published Year Pages File Type
5034793 Journal of Economic Psychology 2017 16 Pages PDF
Abstract

•We study changes in employment protection (EPL) on absenteeism.•We focus on permanent vs two types of temporary contract transitions.•We use individual-level panel data and find asymmetric responses to changes in EPL.•Significant overreaction of permanent workers is observed when they lose protection.•Findings are in line with psychological explanations of asymmetric reactions to good vs bad news.

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