Does Job Search Assistance Really Raise Employment?

44 Pages Posted: 17 Sep 2018

See all articles by Lionel Cottier

Lionel Cottier

University of Lausanne

Yves Fluckiger

University of Geneva

Pierre Kempeneers

University of Geneva

Rafael Lalive

University of Lausanne - Department of Economics; IZA Institute of Labor Economics; CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

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Abstract

We study how job search assistance (JSA) affects employment in a randomized pilot study with long run administrative data. JSA increases employment in the first year after assignment. In the second year, when most job seekers have left JSA, the employment gains evaporate, and even turn into losses in the third year. This sinusoidal pattern is consistent with job finding and employment loss transitions. Job seekers assigned to JSA find employment faster but, once employed, also lose employment faster, especially once eligible for new unemployment benefits. Job seekers assigned to JSA have similar types of contracts and re-employment earnings, but somewhat worse positions in the firm and are more likely to have a part time job.

Keywords: job placement, long term unemployment, job loss, job search assistance, active labor market policy

JEL Classification: J64, J68

Suggested Citation

Cottier, Lionel and Fluckiger, Yves and Kempeneers, Pierre and Lalive, Rafael, Does Job Search Assistance Really Raise Employment?. IZA Discussion Paper No. 11766, Available at SSRN: https://ssrn.com/abstract=3249880 or http://dx.doi.org/10.2139/ssrn.3249880

Lionel Cottier (Contact Author)

University of Lausanne ( email )

Quartier Chambronne
Lausanne, Vaud CH-1015
Switzerland

Yves Fluckiger

University of Geneva ( email )

40, Boulevard du Pont-d'Arve
Genève, CH - 1205
Switzerland

Pierre Kempeneers

University of Geneva

102 Bd Carl-Vogt
Genève, CH - 1205
Switzerland

Rafael Lalive

University of Lausanne - Department of Economics ( email )

Batiment Internef
Lausanne, 1015
Switzerland

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Poschinger Str. 5
Munich, DE-81679
Germany

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