USA: Labor freedom

(measure: points; source: The Heritage Foundation)

USA: Labor freedom index (0-100)

: For that indicator, The Heritage Foundation provides data for the USA from 2005 to 2016. The average value for the USA during that period was 95.61 points with a minumum of 91.4 points in 2016 and a maximum of 98.5 points in 2015. See the global rankings for that indicator or use the country comparator to compare trends over time.
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The Labor Freedom index for the USA from the Heritage Foundation reflects the various aspects of the legal and regulatory framework of the labor market in the USA, including the minimum wage; laws inhibiting layoffs; severance requirements; and the regulatory burdens on hiring.

Definition: The Labor freedom index is composed of six quantitative factors: ratio of minimum wage to the average value added per worker, hindrance to hiring additional workers, rigidity of hours, difficulty of firing redundant employees, legally mandated notice period, and mandatory severance pay. The index is based on data collected in connection with the World Bank’s Doing Business study.
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