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Abstract: This paper aims to identify the variables that drive workers off of their labor supply curves in the Vietnamese apparel factories monitored by the Better Work initiative of the International Labor Organization. It is assumed that firm managers can use various non-wage incentives or punishments to shift a worker’s labor supply curve. A theoretical model of worker behavior is developed, ... read moreincorporating insights from psychology. The empirical analysis quantitatively assesses the impact of non-wage variables on labor supply. The analysis estimates that 22% of overtime hours worked in the Vietnamese firms surveyed result from employer-driven shifts of the labor supply curve and can thus be considered involuntary. That figure rises to 24% when extending the definition of involuntary overtime to include hours overtime hours worked as a result of low levels of base pay.read less
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