This note synthesizes the findings ofresearch on trade and labor in the region, including WorldBank studies on: (i) trade and job quality, (ii)informality, and (iii) labor policies in the region. First,the evidence on the relationship between tradeliberalization, macro-restructuring and labor marketoutcomes during the 1990s is reviewed. Second, labor marketrigidities will be analyzed and the extent to which reformefforts facilitated formal employment creation. Finally,based on lessons learned from the 1990s, a new agenda forlabor market reform is proposed which reflects more closelythe new environment in which Latin American governments now operate.