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The Effect of Outplacement on Unemployment Duration in Spain

  • F. Alfonso Arellano

The paper analyses the effects of individual and group outplacement services for a group of unemployed workers in Spain on their unemployment spells. Two data bases are used, one from the Spanish Department of Employment (INEM) and other from one of the most important outplacement firms (Creade), between 1998 and 2003. Using (non-parametric) matching methods and unemployment duration as outcome variable, the results suggest outplacement produces a “reservation wage” effect for men, increasing unemployment spell by three and two months for individual and group outplacement, respectively. Women who receive the services increase very slightly unemployment duration, showing also (non-significant) spell reductions for individual outplacement.

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Paper provided by FEDEA in its series Working Papers with number 2007-16.

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Date of creation: May 2007
Date of revision:
Handle: RePEc:fda:fdaddt:2007-16
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  1. Markus Froelich, 2002. "Programme Evaluation with Multiple Treatments," University of St. Gallen Department of Economics working paper series 2002 2002-17, Department of Economics, University of St. Gallen.
  2. F. Alfonso Arellano, 2005. "Evaluating The Effects Of Labour Market Reforms “At The Margin” On Unemployment And Employment Stability: The Spanish Case," Economics Working Papers we051205, Universidad Carlos III, Departamento de Economía.
  3. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier.
  4. Richard Blundell & Mónica Costa Dias, 2008. "Alternative Approaches to Evaluation in Empirical Microeconomics," CEF.UP Working Papers 0805, Universidade do Porto, Faculdade de Economia do Porto.
  5. Michael Lechner, 2005. "Some practical issues in the evaluation of heterogeneous labour market programmes by matching methods," Labor and Demography 0505006, EconWPA.
  6. Adriana Kugler & Juan F. Jimeno & Virginia Hernanz, 2002. "Employment consequences of restrictive permanent contracts: Evidence from Spanish labor market reforms," Economics Working Papers 651, Department of Economics and Business, Universitat Pompeu Fabra.
  7. Heckman, James J & Ichimura, Hidehiko & Todd, Petra E, 1997. "Matching as an Econometric Evaluation Estimator: Evidence from Evaluating a Job Training Programme," Review of Economic Studies, Wiley Blackwell, vol. 64(4), pages 605-54, October.
  8. Sascha O. Becker & Andrea Ichino, 2002. "Estimation of average treatment effects based on propensity scores," Stata Journal, StataCorp LP, vol. 2(4), pages 358-377, November.
  9. Ashenfelter, Orley C, 1978. "Estimating the Effect of Training Programs on Earnings," The Review of Economics and Statistics, MIT Press, vol. 60(1), pages 47-57, February.
  10. James J. Heckman & Jeffrey A. Smith, 1999. "The Pre-Program Earnings Dip and the Determinants of Participation in a Social Program: Implications for Simple Program Evaluation Strategies," NBER Working Papers 6983, National Bureau of Economic Research, Inc.
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