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Estimating the effect of a retraining program on the re-employment rate of displaced workers

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  • Sandra Cavaco
  • Denis Fougère

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  • Julien Pouget

Abstract

In this article, we estimate the effects of a French retraining program on the re-employment rate of displaced workers by matching techniques. This program, called ‘Conventions de conversion’, was intended to improve re-employment prospects of displaced workers by proposing them retraining and job seeking assistance for a period of 6 months beginning just after the dismissal. Our empirical analysis is based upon non-experimental data collected by the French Ministry of Labour. Matching estimates show that this program succeeded in increasing the employment rate of trainees by approximately 6 points of percentage in the medium-term, namely in the 2nd and 3rd years after the date of entry into the program. This improvement is essentially due to an increase of their re-employment rate in regular jobs, namely jobs under long-term labour contracts. Copyright Springer-Verlag 2013

Suggested Citation

  • Sandra Cavaco & Denis Fougère & Julien Pouget, 2013. "Estimating the effect of a retraining program on the re-employment rate of displaced workers," Empirical Economics, Springer, vol. 44(1), pages 261-287, February.
  • Handle: RePEc:spr:empeco:v:44:y:2013:i:1:p:261-287
    DOI: 10.1007/s00181-010-0391-6
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    Cited by:

    1. Bernd Fitzenberger & Michael Lechner & Jeffrey Smith, 2013. "Estimation of treatment effects: recent developments and applications," Empirical Economics, Springer, vol. 44(1), pages 1-11, February.
    2. Pavel Stafek & Petra Sanova & Zuzana Novotna & Adriana Laputkova, 2016. "Effectiveness of Retraining as an Instrument for Solving the Problem of Structural Unemployment in the Czech Republic," International Journal of Economics and Financial Issues, Econjournals, vol. 6(3), pages 926-932.

    More about this item

    Keywords

    Evaluation; Retraining program; Displaced workers; Matching estimates; C41; J24; J64; J68;

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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