Klaus Gugler and B. Burcin Yurtoglu

"The effect of mergers on company employment in the USA and Europe"
JEL codes: G34, L2
Keywords: mergers and acquisitions, labor demand, restructuring, international comparison

Abstract: We systematically analyse the effects of mergers and acquisitions on the demand for labour in the USA and Europe. We do not find adverse effects of mergers on labour demand in the USA, however we do find negative effects in Europe of the order of 10% compared to pre-merger levels. We attribute this significant difference to more rigid labour markets in Europe than in the USA.

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