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Efficiency of Chosen Labor Market Programs for Disadvantaged Groups in Slovakia

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  • Natalia Pozsonyiova

    (University of Economics in Bratislava, Bratislava, Slovakia)

Abstract

Despite extensive research on labor market programs, there is limited information on the effectiveness of current unemployment schemes targeting disadvantaged job seekers. A literature review reveals that labor market programs are generally viewed positively, with employment services deemed effective in terms of their impact on the unemployed or cost-effectiveness. This study examines the effectiveness of labor market programs implemented in the Slovak Republic from 2019 to 2023. These programs aimed either to create job opportunities directly or to provide counselling services to the long-term unemployed. The analysis utilized data from the Ministry of Labor, Social Affairs and Family, and the Office for Employment and Social Affairs, focusing on unemployed individuals who participated in programs targeting disadvantaged job seekers. Based on propensity score matching, participants in the programs were compared with non-participants during the specified period. The findings indicate that participation in a program does not affect the duration of long-term unemployment, which is primarily influenced by education and residence. However, the selected programs demonstrated a positive impact on participants, particularly in the long term.

Suggested Citation

  • Natalia Pozsonyiova, 2025. "Efficiency of Chosen Labor Market Programs for Disadvantaged Groups in Slovakia," RAIS Conference Proceedings 2022-2025 0497, Research Association for Interdisciplinary Studies.
    • Handle: RePEc:smo:raiswp:0497
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    References listed on IDEAS

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    1. Lubyova, Martina & van Ours, Jan C., 1999. "Effects of Active Labor Market Programs on the Transition Rate from Unemployment into Regular Jobs in the Slovak Republic," Journal of Comparative Economics, Elsevier, vol. 27(1), pages 90-112, March.
    2. Keisuke Hirano & Guido W. Imbens & Geert Ridder, 2003. "Efficient Estimation of Average Treatment Effects Using the Estimated Propensity Score," Econometrica, Econometric Society, vol. 71(4), pages 1161-1189, July.
    3. John Martin, 2015. "Activation and active labour market policies in OECD countries: stylised facts and evidence on their effectiveness," IZA Journal of Labor Policy, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-29, December.
    4. Bram van Dijk, 2006. "Treatment effect of job‐training programmes on unemployment duration in Slovakia," Statistica Neerlandica, Netherlands Society for Statistics and Operations Research, vol. 60(1), pages 57-72, February.
    5. Guido W. Imbens, 2004. "Nonparametric Estimation of Average Treatment Effects Under Exogeneity: A Review," The Review of Economics and Statistics, MIT Press, vol. 86(1), pages 4-29, February.
    6. Robert G. Fay, 1996. "Enhancing the Effectiveness of Active Labour Market Policies: Evidence from Programme Evaluations in OECD Countries," OECD Labour Market and Social Policy Occasional Papers 18, OECD Publishing.
    7. Miroslav Stefanik, 2014. "Estimating treatment effects of a training programme in Slovakia using propensity score matching," Journal of Economics / Ekonomicky casopis, Institute of Economic Research, Slovak Academy of Sciences, vol. 1(1), pages 1-15, June.
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