The Effect Of Enterprise Pension Payment Burden On Labor Investment Efficiency

With the increasing contribution of labor factors to economic growth,labor investment efficiency has increasingly become an important research topic.At the same time,enterprise employee pension insurance is an important means of human capital investment.Enterprises that pay pension insurance in full for employees may affect existing employees and potential candidates through a good corporate reputation and high talent attractiveness,reducing labor market friction and labor investment inefficiency.However,the excessive pension payment burden will change the relative price of production factors,forcing enterprises to use capital instead of labor in production,reducing unnecessary labor demand,and thus improving the labor investment efficiency.There is something noticeable,in order to reduce pension payment burden,enterprises may overcorrect and reduce too many employees,resulting in insufficient and labor investment inefficiency.Therefore,what kind of influence will the pension payment burden have on the micro enterprises? Whether it can enhance enterprise labor investment efficiency is still unclear and needs further empirical test.Using Chinese listed firm data from 2010 to 2018,this paper finds that the enterprise pension burden will improve labor investment efficiency.In addition,this effect is mainly achieved by reducing the redundancy of enterprise employment,especially the private enterprises.The intermediary effect analysis shows that the enterprise pension burden improves the labor investment efficiency by promoting enterprises to increase capital-labor ratio,reduce labor employment and improve the fixed asset investment.Through grouping test,this paper finds that the pension burden plays a more significant role in private enterprises,enterprises with high financing costs,high labor intensity enterprises,small enterprises and enterprises in low factor market development regions.The conclusions expand the research on labor economics at the company level,help the government to formulate the relevant pension insurance policies by clarifying the relationship between pension payment collection and enterprise labor investment.