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Fostering Soft Skills in Active Labor Market Programs: Evidence from a Large-Scale RCT

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  • Schlosser, Analia
  • Shanan, Yannay

Abstract

We evaluate the effectiveness of an Active Labor Market Program that focuses on enhancing soft skills of welfare recipients using a large-scale RCT. The program increased participants’ employment rates and decreased income support recipiency. The effects persist five to six years after its implementation, even during the Covid-19 crisis. The analysis of the mechanisms shows positive effects on participants’ soft skills, mainly among those with no recent employment spell, who gradually joined the labor market after participation in the program. In contrast, individuals with a recent employment spell went back to employment soon after their allocation to the program.

Suggested Citation

  • Schlosser, Analia & Shanan, Yannay, 2022. "Fostering Soft Skills in Active Labor Market Programs: Evidence from a Large-Scale RCT," CEPR Discussion Papers 17055, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:17055
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    Cited by:

    1. is not listed on IDEAS
    2. Alexander Ahammer & Martin Halla & Pia Heckl & Rudolf Winter-Ebmer, 2025. "Reintegrated Older Long-Term Unemployed Workers: The Impact of Temporary Job Guarantees," Economics working papers 2025-12, Department of Economics, Johannes Kepler University Linz, Austria.
    3. Abay, Kibrom A. & Alzua, Maria Laura & Barasa, Laura & Machio, Phyllis Mumia & Tabe-Ojong, Martin Paul Jr., 2024. "Soft-skills training, locus of control, and labor market outcomes of youth: Evidence from a randomized intervention in Kenya," IFPRI discussion papers 2294, International Food Policy Research Institute (IFPRI).
    4. Shanan, Yannay, 2024. "The intergenerational effects of welfare transfers among single mothers: Evidence from an Israeli welfare reform," Journal of Public Economics, Elsevier, vol. 237(C).
    5. Nicolas Moreau & Alexis Parmentier & Myl ne Lebon-Eyquem, 2024. "Is training helpful in boosting the self-confidence and professional integration of young people not in employment, education, or training? Results from a randomized," TEPP Working Paper 2024-01, TEPP.

    More about this item

    Keywords

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    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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