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Do Active Labor Market Policies Help Unemployed Workers to Find and Keep Regular Jobs?

  • Jan C. van Ours

This paper uses an administrative dataset to analyze to what extent active labor market policies in the Slovak Republic have been beneficial for unemployed workers. The focus is on two types of temporary subsidized jobs and on training. Short-term subsidized jobs seem to be the most efficient active labor market policy. Workers that are or have been on a short-term subsidized job have a higher job finding rate than other unemployed workers have and once they find a job they have a lower job separation rate than workers that have not been on a short-term subsidized job. Long-term subsidized jobs have a negative effect on the job finding rate and no effect on the job separation rate. The positive effect of training on the job finding rate of unemployed workers may have to do with reversed causality: some workers enter a training program only after they are promised a job. Training does not seem to affect the job separation rate.

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Paper provided by William Davidson Institute at the University of Michigan in its series William Davidson Institute Working Papers Series with number 289.

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Length: pages
Date of creation: 01 Feb 2000
Date of revision:
Handle: RePEc:wdi:papers:2000-289
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  1. Ridder, G, 1986. "An Event History Approach to the Evaluation of Training, Recruitment and Employment Programmes," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 1(2), pages 109-26, April.
  2. Lubyova, M. & van Ours, J.C., 1998. "Effects of Active Labor Market Programs on the Transition Rate from Unemployment into Regular Jobs in the Slovak Republic," Discussion Paper 1998-127, Tilburg University, Center for Economic Research.
  3. Van den Berg, Gerard J., 2001. "Duration models: specification, identification and multiple durations," Handbook of Econometrics, in: J.J. Heckman & E.E. Leamer (ed.), Handbook of Econometrics, edition 1, volume 5, chapter 55, pages 3381-3460 Elsevier.
  4. van den Berg, Gerard J & van der Klaauw, Bas & van Ours, Jan C, 2000. "Punitive Sanctions and the Transition Rate From Welfare to Work," CEPR Discussion Papers 2447, C.E.P.R. Discussion Papers.
  5. Gritz, R. Mark, 1993. "The impact of training on the frequency and duration of employment," Journal of Econometrics, Elsevier, vol. 57(1-3), pages 21-51.
  6. Puhani, Patrick A, 1998. "Advantage Through Training? A Microeconometric Evaluation of the Employment Effects of Active Labour Market Programmes in Poland," CEPR Discussion Papers 2000, C.E.P.R. Discussion Papers.
  7. Bonnal, Liliane & Fougere, Denis & Serandon, Anne, 1997. "Evaluating the Impact of French Employment Policies on Individual Labour Market Histories," Review of Economic Studies, Wiley Blackwell, vol. 64(4), pages 683-713, October.
  8. Lubyova, Martina & van Ours, Jan, 1997. "Unemployment dynamics and the restructuring of the Slovak unemployment benefit system," European Economic Review, Elsevier, vol. 41(3-5), pages 925-934, April.
  9. Martina Lubyova & Jan van Ours, 1998. "Work incentives and other effects of the transition to social assistance: Evidence from the Slovak Republic," Empirical Economics, Springer, vol. 23(1/2), pages 121-153.
  10. van den Berg, G. & Holm, A. & van Ours, J.C., 1999. "Does work experience help to become a medical specialist?," Discussion Paper 99.19, Tilburg University, Center for Economic Research.
  11. Svejnar, Jan, 1999. "Labor markets in the transitional Central and East European economies," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 42, pages 2809-2857 Elsevier.
  12. Boeri, Tito, 1997. "Labour-Market Reforms in Transition Economies," Oxford Review of Economic Policy, Oxford University Press, vol. 13(2), pages 126-40, Summer.
  13. Jaap H. Abbring & Gerard J. Berg & Jan C. Ours, 2005. "The Effect of Unemployment Insurance Sanctions on the Transition Rate from Unemployment to Employment," Economic Journal, Royal Economic Society, vol. 115(505), pages 602-630, 07.
  14. van Ours, J.C. & Lubyova, M., 1999. "Effects of active labour market programmes on the transition rate from unemployment into regular jobs in the Slovak Republic," Other publications TiSEM 742d0ca3-611a-4b55-a8c4-8, Tilburg University, School of Economics and Management.
  15. van den Berg, G. & van der Klaauw, B. & van Ours, J.C., 1998. "Punitive sanctions and the transition from welfare to work," Discussion Paper 1998-56, Tilburg University, Center for Economic Research.
  16. 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.
  17. Jaap H. Abbring & Gerard J. van den Berg, 2003. "The Nonparametric Identification of Treatment Effects in Duration Models," Econometrica, Econometric Society, vol. 71(5), pages 1491-1517, 09.
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