World Bank2013-10-032013-10-032013-03-15https://hdl.handle.net/10986/16067The Turkish economy was hit hard by the global economic crisis, but recovered fast and strong. The economy had already started to slow down in 2007, but the global financial events of late 2008 led to a sharp contraction starting in the last quarter of 2008 until growth resumed in the last quarter of 2009. The recovery was rapid, with growth reaching 9 percent in 2010 and 8.5 percent in 2011. This study looks at how the labor market fared during the recent downturn and recovery and informs policies to manage labor markets through the economic cycle and address the jobs challenge in Turkey. The study investigates: (i) pre-crisis labor market trends and the structural jobs challenge in Turkey; (ii) aggregate and distributional impacts of the recent crisis, and subsequent recovery, on the labor market; and (iii) recent policy measures and existing labor market institutions in the context of observed labor market outcomes. Based on this analysis and a comparison with selected countries from around the world, the study suggests options to improve the responsiveness of policies to future crises and to adjust the policy mix through the economic cycle. Finally, the study links policies to manage labor markets through the cycle with measures to address the longer term, structural jobs challenge in Turkey.en-USCC BY 3.0 IGOACCOUNTINGACTIVE LABORACTIVE LABOR MARKETACTIVE LABOR MARKET PROGRAMSADULT WORKERSBASIC EDUCATIONBUSINESS CYCLECRISESDEBT CRISISDEVELOPMENT ECONOMICSDISADVANTAGED GROUPSDRIVERSEARNINGS GROWTHEARNINGS INEQUALITYECONOMIC DOWNTURNSECONOMIC GROWTHECONOMIC SLOWDOWNEMPLOYABILITYEMPLOYMENTEMPLOYMENT AGENCIESEMPLOYMENT GROWTHEMPLOYMENT PROTECTION LEGISLATIONEMPLOYMENT RATEEMPLOYMENT RATESEMPLOYMENT SERVICESFAMILY LABORFEMALE EMPLOYMENTFERTILITYFINDING EMPLOYMENTFIRM GROWTHFLOW OF PEOPLEFORMAL SECTOR WAGESFORMAL SECTOR WORKERSGENDER GAPGENDER GAP IN EDUCATIONGROSS DOMESTIC PRODUCTHEALTH INSURANCEHOUSEHOLD INCOMEHOUSEHOLD LEVELHUMAN CAPITALHUMAN DEVELOPMENTHUMAN RESOURCESIMPACT OF POLICIESINFORMAL EMPLOYMENTINFORMAL SECTORINFORMATION SYSTEMINNOVATIONINVENTORYJOB CREATIONJOB LOSSESJOB SEARCHJOB SEARCH ASSISTANCEJOB SEEKERSJOB STATUSJOBSLABOR CONTRACTSLABOR COSTSLABOR DEMANDLABOR FORCELABOR FORCE PARTICIPATIONLABOR LAWSLABOR MARKET ADJUSTMENTLABOR MARKET CONDITIONSLABOR MARKET INDICATORLABOR MARKET INDICATORSLABOR MARKET INSTITUTIONSLABOR MARKET OUTCOMESLABOR MARKET PERFORMANCELABOR MARKET REFORMLABOR MARKET REGULATIONSLABOR MARKETSLABOR PRODUCTIVITYLABOR PRODUCTIVITY GROWTHLABOR REGULATIONSLAYOFFSLEGISLATIVE CHANGESLEVEL OF EDUCATIONLIFE SKILLSLIMITED JOB OPPORTUNITIESLIVING CONDITIONSLOW EMPLOYMENTLOW LABOR PRODUCTIVITYMALE WORKERSMINIMUM WAGEMINIMUM WAGESMORAL HAZARDNUMBER OF WORKERSPAID WORKERSPENSIONSPOLICY RESPONSEPOPULATION PROJECTIONSPRESENT STUDYPRIMARY EDUCATIONPRODUCTIVE EMPLOYMENTPRODUCTIVITY LEVELPROGRESSPUBLIC SUPPORTPUBLIC WORKSPUBLIC WORKS PROGRAMPUBLIC WORKS PROGRAMSREAL INCOMEREAL WAGEREAL WAGESRURAL AREASRURAL EMPLOYMENTRURAL RESIDENTSSALARIED WORKERSSECONDARY EDUCATIONSECONDARY SCHOOLSELF-EMPLOYMENT INCOMESERVICE DELIVERYSEVERANCE PAYSEVERANCE PAYMENTSSKILLED LABORSKILLED WORKERSSOCIAL BENEFITSSOCIAL NEEDSSOCIAL POLICIESSOCIAL PROTECTIONSOCIAL SECURITYSOCIAL SUPPORTTEMPORARY EMPLOYMENTTEMPORARY WORKERSTOTAL EMPLOYMENTTOTAL FACTOR PRODUCTIVITYUNEMPLOYEDUNEMPLOYMENTUNEMPLOYMENT ASSISTANCEUNEMPLOYMENT BENEFITSUNEMPLOYMENT DURATIONUNEMPLOYMENT INSURANCEUNEMPLOYMENT INSURANCE FUNDUNEMPLOYMENT RATEUNEMPLOYMENT RATESUNEMPLOYMENT SPELLUNIVERSAL PRIMARY EDUCATIONUNPAID FAMILY WORKERSURBAN AREASURBAN WORKERSURBANIZATIONVOCATIONAL COURSEVOCATIONAL TRAININGVULNERABLE GROUPSWAGE BILLWAGE EMPLOYMENTWAGE GAPWAGE GROWTHWAGE INEQUALITIESWAGE POLICIESWAGE RATESWAGE SECTORWORK EXPERIENCEWORK REQUIREMENTSWORK SHARINGWORKERWORKERSWORKINGWORKING HOURSWORKING WOMENWORKING-AGE POPULATIONYOUNG PEOPLEYOUNG WORKERSYOUTH EMPLOYMENTYOUTH LABORYOUTH UNEMPLOYMENTYOUTH UNEMPLOYMENT RATEWorld Bank10.1596/16067