Skip to main content
Go to the home page of the European Commission (opens in new window)
English English
CORDIS - EU research results
CORDIS

Entry-Level Hiring in Tightening Labor Markets: Frictions, Firm Heterogeneity and Public Policy

Objective

Firms’ hiring of labor market entrants is crucial for individual access to opportunity and the economy’s skill level. However, it involves a complex search and screening process that is prone to frictions. While macroeconomic research has shown that the efficiency of labor market matching depends on recruitment intensity, micro-level evidence on firms’ underlying behavior remains limited, mainly due to a lack of suitable data. Yet, such evidence is essential for understanding and improving labor market matching, particularly given ongoing demographic change and increasing market tightness in many economies.

The objective of ENTRYHIRE is to provide a systematic understanding of (i) firms’ hiring behavior and outcomes in tightening entry-level labor markets, (ii) the nature of underlying frictions and firm heterogeneity, and (iii) the effects of policies aimed at removing hiring frictions. As a ‘laboratory’ for studying the microeconomics of entry-level hiring, I draw on the German apprenticeship market, which features well-defined vacancy and applicant pools, a structured timeline, as well as exogenous tightness and policy variation.

ENTRYHIRE will collect and combine novel data from different sources, including employer-employee records, a matching platform, and the records of a large-scale hiring assistance program. Moreover, it will develop and implement a survey framework to elicit firms’ hiring tradeoffs. Combined with innovative empirical research designs, the collected data will enable a comprehensive view on firms' typically unobserved search and screening processes and their links to realized hiring outcomes.

The project will create systematic knowledge on the interaction between labor market tightness, firms’ hiring behavior, and public policy on entry-level markets. It will provide new empirical ground for economic models of labor market matching and inform policies aimed at promoting an efficient matching of young workers to jobs.

Fields of science (EuroSciVoc)

CORDIS classifies projects with EuroSciVoc, a multilingual taxonomy of fields of science, through a semi-automatic process based on NLP techniques. See: The European Science Vocabulary.

You need to log in or register to use this function

Keywords

Project’s keywords as indicated by the project coordinator. Not to be confused with the EuroSciVoc taxonomy (Fields of science)

Programme(s)

Multi-annual funding programmes that define the EU’s priorities for research and innovation.

Topic(s)

Calls for proposals are divided into topics. A topic defines a specific subject or area for which applicants can submit proposals. The description of a topic comprises its specific scope and the expected impact of the funded project.

Funding Scheme

Funding scheme (or “Type of Action”) inside a programme with common features. It specifies: the scope of what is funded; the reimbursement rate; specific evaluation criteria to qualify for funding; and the use of simplified forms of costs like lump sums.

HORIZON-ERC - HORIZON ERC Grants

See all projects funded under this funding scheme

Call for proposal

Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.

(opens in new window) ERC-2025-STG

See all projects funded under this call

Host institution

RHEINISCHE FRIEDRICH-WILHELMS-UNIVERSITAT BONN
Net EU contribution

Net EU financial contribution. The sum of money that the participant receives, deducted by the EU contribution to its linked third party. It considers the distribution of the EU financial contribution between direct beneficiaries of the project and other types of participants, like third-party participants.

€ 1 094 230,00
Address
REGINA PACIS WEG 3
53113 BONN
Germany

See on map

Region
Nordrhein-Westfalen Köln Bonn, Kreisfreie Stadt
Activity type
Higher or Secondary Education Establishments
Links
Total cost

The total costs incurred by this organisation to participate in the project, including direct and indirect costs. This amount is a subset of the overall project budget.

€ 1 094 230,00

Beneficiaries (2)

My booklet 0 0