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A Helping Hand Goes a Long Way: Long-Term Effects of Counselling and Support to Workfare Program Participants

Author

Listed:
  • Gustavo J. Bobonis
  • Aneta Bonikowska
  • Philip Oreopoulos
  • W. Craig Riddell
  • Steven P. Ryan

Abstract

We study the long-run impacts of the Canada Self-Sufficiency Project (SSP) Plus program, which randomly offered intensive employment support services for up to three years to long-term welfare recipients eligible for temporary work subsidies. We examine whether this intervention – aiming to address both economic and psycho-social barriers faced by the poor in finding and retaining desirable employment – led to long-run changes in individuals’ socioeconomic trajectories. We link study participants to their federal tax and employer-employee matched records for up to 20 years after random assignment. The intensive services treatment led to a 20-27 percent increase in participants’ annual earnings over the 20-year period, or approximately 26,000 CAD in present discounted real 2010 terms. As possible mechanisms, individuals experience increases in full-time employment throughout the first decade post-intervention, a greater retention of jobs in higher paying firms, and an improvement in non-cognitive skills.

Suggested Citation

  • Gustavo J. Bobonis & Aneta Bonikowska & Philip Oreopoulos & W. Craig Riddell & Steven P. Ryan, 2022. "A Helping Hand Goes a Long Way: Long-Term Effects of Counselling and Support to Workfare Program Participants," NBER Working Papers 30405, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:30405
    Note: LS PE
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    Cited by:

    1. Francisco Gallego & Philip Oreopoulos & Noah Spencer, 2023. "The Importance of a Helping Hand in Education and in Life," Documentos de Trabajo 575, Instituto de Economia. Pontificia Universidad Católica de Chile..

    More about this item

    JEL classification:

    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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