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Building Persistent Compliance with Labour Law: Evidence from a Randomized Controlled Trial
Last registered on February 01, 2017

Pre-Trial

Trial Information
General Information
Title
Building Persistent Compliance with Labour Law: Evidence from a Randomized Controlled Trial
RCT ID
AEARCTR-0001987
Initial registration date
February 01, 2017
Last updated
February 01, 2017 11:59 PM EST
Location(s)
Region
Primary Investigator
Affiliation
Harvard University
Other Primary Investigator(s)
Additional Trial Information
Status
On going
Start date
2017-02-01
End date
2017-06-30
Secondary IDs
Abstract
The Office of the Fair Work Ombudsman, Australian Government, conducts proactive compliance campaigns, in which they conduct random audits of small businesses regarding their compliance with wage entitlements and record keeping obligations. This trial will test the effectiveness of incorporating behavioural insights into audit correspondence and other interventions on the rate of persistent compliance among small businesses after the audit.
External Link(s)
Registration Citation
Citation
Hiscox, Michael. 2017. "Building Persistent Compliance with Labour Law: Evidence from a Randomized Controlled Trial ." AEA RCT Registry. February 01. https://doi.org/10.1257/rct.1987-1.0
Former Citation
Hiscox, Michael. 2017. "Building Persistent Compliance with Labour Law: Evidence from a Randomized Controlled Trial ." AEA RCT Registry. February 01. https://www.socialscienceregistry.org/trials/1987/history/13691
Sponsors & Partners

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Experimental Details
Interventions
Intervention(s)
The existing audit process has been modified to incorporate checklists, planning prompts, reminders and social norm information regarding compliance, as well as default sign-up to an educational tool in an additional trial condition.
Intervention Start Date
2017-02-01
Intervention End Date
2017-06-30
Primary Outcomes
Primary Outcomes (end points)
Primary outcome: Compliance with payment of wage entitlements
Secondary outcome: Efficiency of audit process (costs in staff time) and client satisfaction
Primary Outcomes (explanation)
Secondary Outcomes
Secondary Outcomes (end points)
Secondary Outcomes (explanation)
Experimental Design
Experimental Design
The trial will involve1600-2000 small businesses randomised to four conditions measured at two points in time, six months apart.
Experimental Design Details
The trial will involve1600-2000 small businesses randomly assigned to four conditions, with outcomes measured at two points in time, six months apart. All businesses will be from the retail hair and beauty industries located in states on the East Coast of Australia. The trial design includes one control condition in which businesses will not be audited initially, a second condition in which businesses are audited with standardised business-as-usual communications, a third audit condition incorporating the behaviourally-informed interventions identified above (checklists, reminders, a planning prompt, and social norming information), and a fourth condition incorporating the behaviourally-informed interventions as well as a default sign-up to an educational tool that supplies up-to-date information on labour laws (including award wages). All businesses will be audited a second time (or for the first time in the case of the control group) at follow-up after six months.
Randomization Method
Randomization done by a computer algorithm
Randomization Unit
Individual small businesses
Was the treatment clustered?
No
Experiment Characteristics
Sample size: planned number of clusters
N/A
Sample size: planned number of observations
1600-2000 businesses
Sample size (or number of clusters) by treatment arms
400-500 businesses per trial arm.
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
For overall proportion of compliant businesses: Assuming alpha =0.05, power =0.8, baseline compliance rate of 70%, with a sample size of 400 businesses per condition, the minimum detectable effect is an absolute increase in the proportion of compliant businesses by 8.62% to 78.62%.
IRB
INSTITUTIONAL REVIEW BOARDS (IRBs)
IRB Name
BETA Ethics Committee
IRB Approval Date
2017-01-10
IRB Approval Number
ETH 2017-003
Analysis Plan

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Post-Trial
Post Trial Information
Study Withdrawal
Intervention
Is the intervention completed?
No
Is data collection complete?
Data Publication
Data Publication
Is public data available?
No
Program Files
Program Files
Reports and Papers
Preliminary Reports
Relevant Papers