Examining the Factors Affecting the Employment Increase of Enterprises in Turkey

An increase in employment is an important dynamic that contributes to the growth of countries. Labor force, technology, size and age of enterprises are defined as effective factors in the literature. Nevertheless, trouble-free processes in financial opportunities, infrastructure and regulatory agencies have supportive effects. Troubles in these processes are known as obstacles to growth of enterprises. In this study, dynamics and obstacles, as well as other factors that affect employment increase have been analyzed using World Bank Enterprise Survey (2015) for 6006 enterprises that are operating in Turkey. With reference to knowledge in this survey, the increases in the number of employees between the years of 2012 and 2014 were calculated. These increases were transformed into a categorical variable. The relationship between this categorical variable with the gender of executives, educational level of executives, the industry that enterprise belongs to, the age of the enterprise, the size of enterprise and obstacles were investigated. Multiple correspondence analysis and logistic regression were used in the analysis. According to the findings, the age of the enterprises, the educational level of executives, the industry that the enterprise belongs to, inadequately educated employees, political instability as well as tax administration have an effect on increases in employment.