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Temporary Extra Jobs for Immigrants: Merging Lane to Employment or Dead‐End Road in Welfare?

  • Stephan L. Thomsen
  • Thomas Walter

Temporary Extra Jobs provide subsidized employment for welfare recipients and are the most frequently used welfare-to‐work program in Germany. We evaluate the effects of participation in this program on the employment chances of immigrant welfare recipients and contrast the findings with program effects for natives. Our results reveal that Temporary Extra Jobs fail to achieve their objective. The estimated effects are more adverse for natives, but the program is ineffective for participating immigrants either. Therefore, the program is a dead‐end road rather than a merging lane to regular employment both for natives and for immigrants.

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File URL: http://hdl.handle.net/10.1111/j.1467-9914.2010.00505.x
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Article provided by CEIS in its journal LABOUR.

Volume (Year): 24 (2010)
Issue (Month): s1 (December)
Pages: 114-140

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Handle: RePEc:bla:labour:v:24:y:2010:i:s1:p:114-140
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  1. Jacobi, Lena & Kluve, Jochen, 2007. "Before and after the Hartz reforms: The performance of active labour market policy in Germany," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(1), pages 45-64.
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  6. Hohmeyer, Katrin & Jozwiak, Eva, 2008. "Who is targeted by One-Euro-Jobs? : a selectivity analysis," IAB Discussion Paper 200808, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
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  14. Rebecca M. Blank, 2002. "Evaluating Welfare Reform in the United States," NBER Working Papers 8983, National Bureau of Economic Research, Inc.
  15. Aldashev, Alisher & Thomsen, Stephan L. & Walter, Thomas, 2010. "Short-term training programs for immigrants: do effects differ from natives and why?," ZEW Discussion Papers 10-021, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
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