scholarly journals Sectoral Heterogeneity in the Employment Effects of Job Creation Schemes in Germany

Author(s):  
Marco Caliendo ◽  
Reinhard Hujer ◽  
Stephan L. Thomsen

SummaryJob creation schemes (JCS) have been one important programme of active labour market policy (ALMP) in Germany for a long time. They aim at the re-integration of hard-to-place unemployed individuals into regular employment. A thorough microeconometric evaluation of these programmes was hindered by the fact, that available survey datasets have been too small to account for a possible occurrence of effect heterogeneity. However, identifying effect heterogeneity can help to improve the design and implementation of future programmes. Hence, we use administrative data of the Federal Employment Agency, containing over 11,000 participants to analyse the employment effects of JCS on an individual level. We focus explicitly on effect heterogeneity caused by differences in the implementation of programmes, whereas we analysed these effects with respect to group-specific and regional heterogeneity in a previous paper. At first, we evaluate the effects with respect to the economic sector in which the JCS are accomplished. Second, we analyse if different types of support lead to different effects. Finally, we examine if there are varying effects which can be attributed to different implementing institutions. The results are rather discouraging and show that JCS are in general not able to improve the re-integration chances of participants into regular employment.

2006 ◽  
Vol 7 (3) ◽  
pp. 395-415 ◽  
Author(s):  
Friedhelm Pfeiffer ◽  
Henrik Winterhager

AbstractIn April 2002 German government introduced job placement vouchers as a new instrument of active labour market policy to foster the transition of unemployed to jobs. This paper investigates the demand, the treatment effect of the treated and the economic efficiency of job placement vouchers issued from May 2003 to June 2004. The analysis employs a large sample of unemployed individuals from administrative data collected by the German Federal Employment Agency. 20 percent of the West German and 37 percent of the East German unemployed demanded a voucher. According to the microeconometric results the treatment impact of the treated is positive. 5 out of 100 voucher recipients found a job as a result of the instrument. An additional analysis of the cost and returns of the voucher scheme reveals that the return remains positive if no more than 70 per cent of the direct effects are compensated by indirect (substitution) effects.


2020 ◽  
Vol 240 (2-3) ◽  
pp. 269-294 ◽  
Author(s):  
Martin Friedrich

AbstractThis paper evaluates the short to medium run employment effects of the 2015 introduction of a statutory minimum wage in Germany. The effect of the policy is recovered from variation in the bite of the minimum wage across occupations using a difference-in-differences estimator. The analysis reveals that the reform only had a small impact on employment and highlights the importance of regional effect heterogeneity. In East Germany, marginal employment decreased by about 18,000 jobs in the short run and 52,000 jobs in the medium run, respectively, due to the minimum wage. In West Germany, no negative employment effects are detectable, but regular employment increased temporarily because of the reform. The medium run estimates include the impact of the first marginal increase of the wage floor from €8.50 to €8.84 in 2017.


2019 ◽  
Vol 10 (9) ◽  
pp. 910-918
Author(s):  
Lucia Svabova ◽  
◽  
Vladimir Borik ◽  
Marek Durica ◽  
Johanna Grudin ◽  
...  

Active labour market policy interventions are vide used tool of a government against unemployment. One of the most frequently used intervention for young jobseekers in Slovakia is a Contribution for Graduate practice. This measure is intended for young unemployed jobseekers as a tool of gaining first contact with the open labour market and with potential employer and gaining first work experiences. In this paper we present a qualitative survey of Graduate practice that was made as an ex-post evaluation of this intervention by its participants in Slovakia. This evaluation of the intervention was carried out at the request of the European Commission not only in Slovakia but also in several countries of the European Union. The qualitative evaluation, as a part of this rigorous intervention evaluation, provides feedback from the real intervention participants and brings some suggestions to improve the parameters and conditions of Graduate practice intervention and its realization. These improvements are useful not only for participants themselves, for companies in which young graduates are employed but also for the state budget in the form of returned or saved invested funds because of better functioning of the intervention. Based on the results of this feedback from its real participants, some parameters, conditions and details of the Graduate practice intervention have been changed and added in Slovakia.


2018 ◽  
Vol 7 (4) ◽  
pp. 377-410 ◽  
Author(s):  
Moritz Zoellner ◽  
Michael Fritsch ◽  
Michael Wyrwich

PurposeThe purpose of this paper is to review the results of studies that investigate the most important active labour market policy (ALMP) measures in Germany. A focus is also on programmes devoted to foster entrepreneurship which can make important contributions to a country’s growth and social welfare.Design/methodology/approachThe study relies on quantitative and qualitative assessments and a comparison of results of previous studies on ALMPs.FindingsThe available evidence suggests that most ALMP measures increase labour market prospects of the participants. In particular, evaluations of the entrepreneurship promotion activities show high success rates as well as high cost efficiency. The bulk share of participants of entrepreneurship measures is still self-employed after several years and nearly one-third of these businesses had at least one employee. The authors mention problems regarding the evaluation of previous programmes and highlight future challenges of German ALMP.Originality/valueThis is the first study on ALMP that has an extensive and explicit focus on entrepreneurship-promoting programs.


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