Trade Liberalisation and the Labour Market in Morocco

1
Trade Liberalisation and the Labour Market in
Morocco

• Novella Bottini
• (University of Pavia, and LIUC)
• Michael Gasiorek
• (University of Sussex, and GREQAM)

2
(No Transcript)
3
Morocco Manufacturing Sector
We examine how trade liberalisation with EU
and MENA countries impacts on Moroccan workers
by changing the composition of employment.
4
Methodology (1)

• 
  Entry
• POS ? Job Creation
• 
  Hiring
• 
  Exit
• NEG ? Job Destruction
• 
  Firing

5
Methodology (2)

• SUM ? Turnover POS NEG
• NET POS NEG
• EXCESS ? Churning
• EXC Between Within

6
Turnover
7
Entry VS Hiring
8
Exit VS Firing
9
Turnover By Export Status (1)
10
Turnover By Export Status (2)
11
Turnover By Size (1)
12
Turnover By Size (2)
13
Main Results Review

• Turnover Permanent Workers lt Temporary Workers
• Turnover Morocco gt Turnover USA and UE
• Change in the trend after 1997
• Exporters NonExporters in magnitude BUT not in
  time trend and composition
• Turnover Small gt Medium gt Large
• Turnover in the main sectors is higher than the
  average value for the whole economy.

14
Churning among Sectors
15
Churning among ExportStatus Groups
16
Churning among Size Groups
17
Conclusion and Further Steps

• The analysis suggests that Turnover is higher
  among
• Temporary Workers,
• Small Firms,
• (NO difference among Exporters and NonExporters).
• Trade Liberalisation increase JR mainly among
  Temporary Workers.
• Simultaneous JC and JD within industries, size
  and Export Status Groups account for the vast
  majority of total turnover (70 on average)
• Firm heterogeneity is the key issue to understand
  job
• reallocation in the Moroccan economy.

18
Grazie!