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Home | Events Archive | Reintegrating Older Long-Term Unemployed Workers: The Impact of Temporary Job Guarantees
Seminar

Reintegrating Older Long-Term Unemployed Workers: The Impact of Temporary Job Guarantees


  • Series
  • Speaker(s)
    Martin Halla (WU Vienna, Austria)
  • Field
    Empirical Microeconomics
  • Location
    Tinbergen Institute, room 1.01
    Amsterdam
  • Date and time

    May 13, 2025
    15:30 - 16:30

Abstract

Negative duration dependence in unemployment makes long-term unemployment particularly challenging to address. This study evaluates the effectiveness of a novel public policy intervention: a large-scale, temporary job guarantee program targeting older long-term unemployed individuals, offering employment for a maximum duration of two years. By exploiting a sharp age-based discontinuity in eligibility, we assess the program’s impact on subsequent employment and health outcomes. Our findings reveal that, two years after the program ended, individuals were 46 percent- age points more likely to be employed in the primary labor market. Participation had no measurable impact on health outcomes. Joint paper with Alexander Ahammer, Pia Heckl, and Rudolf Winter-Ebmer.

JEL Classification: J64, J08, J78, I14, H51
Keywords: Long-term unemployment, temporary job guarantee, subsidized employ- ment, health status.