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Förderung mit Eingliederungszuschüssen: Länger im Betrieb und gleicher Lohn (German wage subsidies: similar wages but longer job tenure)

Author

Listed:
  • Ruppe, Kathi

    (Institute for Employment Research (IAB), Nuremberg, Germany)

  • Stephan, Gesine

    (Institute for Employment Research (IAB), Nuremberg, Germany)

Abstract

"In Germany, targeted wage subsidies to employers are an important instrument of active labour market policy. Targeted wage subsidies are tailored to particular groups of unemployed persons and typically granted for a limited period of time. In this paper, IAB compares the wages and tenure of previously unemployed persons who took up either a subsidized or unsubsidized job, respectively. The results show that starting wages of subsidized employees and unsubsidized workers are very similar, while - due to higher subsequent employment shares - cumulated incomes of (previously) subsidized workers are higher. Furthermore, initially subsidized workers have a longer tenure than persons who were hired without the help of a subsidy." (Author's abstract, IAB-Doku) ((en))

Suggested Citation

  • Ruppe, Kathi & Stephan, Gesine, 2009. "Förderung mit Eingliederungszuschüssen: Länger im Betrieb und gleicher Lohn (German wage subsidies: similar wages but longer job tenure)," IAB-Kurzbericht 200925, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    • Handle: RePEc:iab:iabkbe:200925
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    References listed on IDEAS

    as
    1. Stephan, Gesine, 2009. "Employer wage subsidies and wages in Germany : some evidence from individual data," IAB-Discussion Paper 200909, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
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