Kikeri, Sunita2012-08-132012-08-131999-01https://hdl.handle.net/10986/11505When state-owned enterprises preparing for privatization have very high levels of redundant workers and when social safety nets and redundancy provisions in labor laws are inadequate or lacking, the political and social implications of layoffs mean that the government should be involved in the design and funding of special programs to deal with unemployment and labor unrest. This note reviews the main elements of such programs severance and retirement benefits, retraining and redeployment support, employee share ownership schemes, and importantly, mechanisms to ensure labor consultation and participation. In many countries these programs need to go hand-in-hand with reforms to expand private labor markets: removing obstacles to job creation, ending restrictions on hiring and firing, and eliminating taxes that raise the cost of labor.CC BY 3.0 IGOACTIVE LABORACTIVE LABOR MARKETACTIVE LABOR MARKET PROGRAMSADVERSE SELECTIONATTRITIONBANK OPERATIONSBENEFITS OF PRIVATIZATIONBIDSCAPITAL GAINSCONCEPT OF PRIVATIZATIONDEVELOPING COUNTRIESDIVIDENDEARLY RETIREMENTECONOMIC BENEFITSECONOMIC DISTRESSECONOMIC RETURNSEMPLOYEEEMPLOYMENT LEVELSEMPLOYMENT PROGRAMSENTERPRISE DEVELOPMENTENTERPRISE RESTRUCTURINGEXECUTIVE DIRECTORSFINANCING ARRANGEMENTSFIRINGFUTURE EARNINGSHIRINGINNOVATIONSINSTITUTIONAL CAPACITYJOB CREATIONJOB SEARCHJOB SEARCH ASSISTANCEJOBSLABOR ADJUSTMENTLABOR FORCELABOR LAWSLABOR LEGISLATIONLABOR MARKETLABOR MARKET CHARACTERISTICSLABOR MARKETSLABOR OPPOSITIONLABOR PRODUCTIVITYLABOR REDUNDANCIESLABOR RELATIONSLABOR SUPPORTLABOR UNIONSLAID-OFF WORKERSLAYOFFSMETHOD OF PRIVATIZATIONPENSIONPENSION FUNDSPENSION LIABILITIESPENSION REFORMSPLACEMENT SERVICESPOVERTY ALLEVIATIONPRIVATE COMPANYPRIVATE INSTITUTIONSPRIVATE INVESTORSPRIVATE OWNERSPRIVATE SECTORPRIVATE SECTOR DEVELOPMENTPRIVATIZATIONPRIVATIZATION PROCESSPRODUCTIVE ACTIVITIESPUBLIC SECTORPUBLIC SECTOR DOWNSIZINGPUBLIC WORKSRAILWAY WORKERSREDUNDANCYREDUNDANT WORKERSRETIREMENTRETIREMENT PROGRAMRETRAINING PROGRAMSSAFETYSAFETY NETSAFETY NETSSALE OF ASSETSSALE PRICESENIORITYSERVICE PROVIDERSSEVERANCE BENEFITSSEVERANCE PAYMENTSSHARE OWNERSHIPSMALL BUSINESSSMALL BUSINESSESSMALL ENTERPRISESSOCIAL FUNDSSOCIAL SAFETY NETSOCIAL SAFETY NETSSTAFFSTATE ENTERPRISESTATE ENTERPRISESSTATE-OWNED ENTERPRISESTECHNICAL ASSISTANCEUNEMPLOYMENTUNEMPLOYMENT INSURANCEVOLUNTARY DEPARTURESWAGESWORKERWORKERSWORKING CAPITALWorld Bank10.1596/11505