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Contracting out Employment Services Involving Temporary Agency Work in Germany

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  • Ochel, Wolfgang

Abstract

Since 2003 the German Public Employment Service has been experimenting with the contracting out of various services. One of the new labour market programmes is Personnel Service Agencies, which provide client firms with jobseekers on a temporary assignment basis and are responsible for integrating jobseekers into non-subsidised employment. By contracting out employment services, the Public Employment Service seeks to exploit efficiency gains characteristic of enterprises that compete in quasi-markets. In order to integrate jobseekers as rapidly as possible, a result-oriented system of incentives has been developed. This paper describes the institutional setting and ex-amines its appropriateness for efficient job placement services.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 13820.

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Date of creation: 2007
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Publication status: Published in Journal of European Social Policy 2.17(2007): pp. 125-138
Handle: RePEc:pra:mprapa:13820

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Related research

Keywords: Contracting-out; personnel service agency; quasi-markets; temporary agency work;

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References

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  1. Kvasnicka, Michael, 2003. "Inside The Black Box of Temporary Help Agencies," SFB 373 Discussion Papers 2003,43, Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes.
  2. Antoni, Manfred & Jahn, Elke J., 2006. "Do Changes in Regulation Affect Employment Duration in Temporary Work Agencies?," IZA Discussion Papers 2343, Institute for the Study of Labor (IZA).
  3. Jens Lundsgaard, 2002. "Competition and Efficiency in Publicly Funded Services," OECD Economic Studies, OECD Publishing, vol. 2002(2), pages 79-128.
  4. Jens Lundsgaard, 2002. "Competition and Efficiency in Publicly Funded Services," OECD Economics Department Working Papers 331, OECD Publishing.
  5. Wolfgang Ochel, 2004. "Competitive Tendering and Contracting of Temporary Work Agencies in Germany," CESifo DICE Report, Ifo Institute for Economic Research at the University of Munich, vol. 2(2), pages 69-74, 07.
  6. David Grubb, 2003. "Points of Comparison between Australia’s Job Network and the Dutch Market for Reintegration Services," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 6(2), pages 357-370, June.
  7. Domberger, Simon & Jensen, Paul, 1997. "Contracting Out by the Public Sector: Theory, Evidence, Prospects," Oxford Review of Economic Policy, Oxford University Press, vol. 13(4), pages 67-78, Winter.
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