--- - |2 Abstract In this article, I suggest that transnational labour markets are characterized by their multi‐layered embeddedness, not only in national but also in transnational institutional settings. Hence, the national institutional factors formerly at the centre of sociological labour market theories insufficiently explain the newly emerging transnational labour markets. To account for the full complexity and institutional context of the latter, I propose an inductive theoretical approach to transnational labour markets and develop a research heuristic to instruct empirical studies about particular transnational labour markets and inductive theory building. This heuristic draws on analytical categories as developed by the new economic sociology of markets. The empirical example of the transnational labour market that matches eastern European workers to jobs in the German meat industry serves to illustrate how one can use this heuristic, which reveals some preliminary features of transnational labour markets compared with national ones, as well as some research gaps to be addressed by future studies. - 'Global Networks, EarlyView. '