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Re-Employment Probabilities Of Unemployment Benefit Recipients

Author

Listed:
  • Alfonso Alba

    (Departamento de Economía - UC3M - Universidad Carlos III de Madrid [Madrid])

  • Jose Maria Arranz

    (ESTADISTICA,ESTRUCTURA Y OEI - UAH - Universidad de Alcalá - University of Alcalá)

  • Fernando Muñoz-Bullón

    (Sección de Organización de Empresas - UC3M - Universidad Carlos III de Madrid [Madrid])

Abstract

This article studies transitions out of unemployment for benefit recipients in Spain. We analyse the duration of unemployment, distinguishing between spells that end in recall (workers returning to the previous employer) and spells that end in exit to a new job. This distinction allows us to find that the recall hazard rate increases around the time of exhaustion of benefits. However, this happens only for workers receiving unemployment insurance. Because we are unable to replicate this result for workers receiving unemployment assistance, we believe the finding lends support to the hypothesis that in Spain firms and workers make a strategic use of unemployment insurance.

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  • Alfonso Alba & Jose Maria Arranz & Fernando Muñoz-Bullón, 2011. "Re-Employment Probabilities Of Unemployment Benefit Recipients," Post-Print hal-00712375, HAL.
    • Handle: RePEc:hal:journl:hal-00712375
    DOI: 10.1080/00036846.2011.579067
    Note: View the original document on HAL open archive server: https://hal.science/hal-00712375
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    2. Nagore García, Amparo & van Soest, Arthur, 2014. "Unemployment Transitions to Stable and Unstable Jobs Before and During the Crisis," IZA Discussion Papers 8121, Institute of Labor Economics (IZA).
    3. Cueto, Begoña & Patricia, Suárez, 2014. "A review of active and passive labour market policies in Spain," MPRA Paper 60648, University Library of Munich, Germany.
    4. Amparo Nagore García & Arthur Soest, 2017. "Unemployment Exits Before and During the Crisis," LABOUR, CEIS, vol. 31(4), pages 337-368, December.
    5. NAGORE GARCIA Amparo & VAN SOEST Arthur, 2016. "Unemployment Exits Before and During the Crisis," LISER Working Paper Series 2016-14, Luxembourg Institute of Socio-Economic Research (LISER).

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