Sorm, Vit, and Terrell, Katherine—Sectoral Restructuring and Labor Mobility: A Comparative Look at the Czech Republic Labor mobility is crucial for an efficient allocation of resources and the transition economies are often viewed as suffering from inadequate reallocation of labor. Using quarterly micro data for the 1994 to 1998 period, we provide a comparative analysis of the extent and determinants of labor mobility in the Czech Republic. We show that there has been significant movement into the finance, trade, and tourism sectors and out of the agricultural and industrial sectors. Over one-half of the people who have changed jobs have changed sector of employment, and this restructuring has been carried out relatively efficiently in that it occurred with lower incidence and duration of unemployment than in the other transition economies. Using hazard analysis we find the demographic characteristics of different patterns of mobility are similar across these transition economies. We identify younger people, in general, and single men as individuals who are more likely to change jobs or become unemployed. The more educated are experiencing more job stability and are more likely to be hired if they are unemployed or out of the labor force. Finally, in the Czech Republic, we find that the flows between employment and unemployment are very responsive to demand conditions. We conclude that the Czech labor market has demonstrated flexibility and efficiency in the transition. J. Comp. Econom., September 2000, 28(3), pp. 431–455. The William Davidson Institute, University of Michigan Business School, Ann Arbor, and CERGE-EI, Prague; and The William Davidson Institute, University of Michigan Business School, Ann Arbor.