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Labor market integration of low-educated refugees

Author

Listed:
  • Dahlberg, Matz

    (IFAU - Institute for Evaluation of Labour Market and Education Policy)

  • Egebark, Johan

    (Arbetsförmedlingen (Swedish PES))

  • Vikman, Ulrika

    (IFAU - Institute for Evaluation of Labour Market and Education Policy)

  • Özcan, Gülay

    (Arbetsförmedlingen (Swedish PES))

Abstract

This paper evaluates an ambitious and newly designed program for increased integration in Sweden. The purpose of the program is to help newly arrived, low-educated refugees into employment. The program includes four main components: (1) intensive initial language training,(2)work practice under close supervision, (3) job search assistance, and (4) extended cooperation between the local public sector and firms. An important feature of the program is that the demand side of the labor market, represented by the largest real estate company in Gothenburg, is involved in designing the program. Our evaluation is based on a randomized controlled trial, where potential participants in one of the first waves were randomly assigned to treatment and control groups. The paper presents results from the first two years after randomization. Using inference based on Fisher's exact test, we show that the program has positive effects on employment: around 30 % of the individuals in the treatment group are employed each month during the first year following the end of the program, compared to an average of approximately 15 % in the control group.

Suggested Citation

  • Dahlberg, Matz & Egebark, Johan & Vikman, Ulrika & Özcan, Gülay, 2020. "Labor market integration of low-educated refugees," Working Paper Series 2020:21, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    • Handle: RePEc:hhs:ifauwp:2020_021
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    References listed on IDEAS

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    Cited by:

    1. Hangartner, Dominik & Sarvimäki, Matti & Spirig, Judith, 2021. "Managing Refugee Protection Crises: Policy Lessons from Economics and Political Science," IZA Discussion Papers 14821, Institute of Labor Economics (IZA).
    2. Jacob Nielsen Arendt & Christian Dustmann & Hyejin Ku, 2022. "Refugee migration and the labour market: lessons from 40 years of post-arrival policies in Denmark [‘The Dynamics of Return Migration, Human Capital Accumulation, and Wage Assimilation’]," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 38(3), pages 531-556.
    3. Bratu, Cristina & Martén, Linna & Ottosson, Lillit, 2023. "Individualized Benefits and Access to Active Labor Market Programs Boost Refugee Women’s Economic Integration," Working Paper Series 3/2023, Stockholm University, Swedish Institute for Social Research.
    4. Canzian, Giulia & Meroni, Elena Claudia & Santangelo, Giulia, 2023. "Evaluation of a Flemish Active Labour Market Policy in the framework of the European Social Fund. Results and challenges," Socio-Economic Planning Sciences, Elsevier, vol. 88(C).
    5. Mörk, Eva & Ottosson, Lillit & Vikman, Ulrika, 2021. "To work or not to work? Effects of temporary public employment on future employment and benefits," Working Paper Series 2021:12, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    6. Cristina Bratu & Matz Dahlberg & Madhinee Valeyatheepillay, 2021. "Age at Arrival and Residential Integration," CESifo Working Paper Series 9181, CESifo.

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    More about this item

    Keywords

    Refugee immigration; Integration; Randomized experiment; Labor market program;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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