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Are Reemployment Programs Effective in Periods of High Unemployment? Experimental Evidence from the UI System

Objective

This 2-year project will examine the efficacy of reemployment programs in helping displaced workers find jobs and improve their labour market outcomes during periods of high unemployment. For this purpose, we will examine the effectiveness of reemployment programs implemented by two US states, Florida and Nevada, from 2009 through 2010, a period of high unemployment. Each of these programs: 1) used random assignment to determine which new Unemployment Insurance (UI) recipients would receive reemployment services, 2) provided a unique combination of services to program participants, and 3) collected data that provide information on the characteristics and outcomes of UI recipients. The random assignment design of these programs combined with the fact that they provided a diverse set of services provide a unique opportunity to produce reliable evidence on the effectiveness of various reemployment strategies during periods of high unemployment.
This project will use Florida and Nevada administrative data to address the following research objectives:
• What is the effect of reemployment programs in helping displaced workers improve their labour market outcomes during periods of high unemployment?
• Are reemployment programs effective in reducing the use of UI benefits?
• Do program impacts vary across key socioeconomic groups?
• Do reemployment programs lead to significant savings for the UI Trust Fund and, if so, do these exceed program costs?
• What reemployment strategies are most effective in improving the labour market outcomes of displaced workers and in producing savings for the UI program?
The findings of this project will provide important insights in the efficacy of various reemployment strategies and help EU policymakers identify strategies that are likely to be effective in improving the labour market outcomes of displaced workers during periods of high unemployment.

Field of science

  • /social sciences/economics and business/business and management/commerce
  • /social sciences/economics and business/business and management/employment
  • /social sciences/sociology/governance/public services

Call for proposal

FP7-PEOPLE-2013-CIG
See other projects for this call

Funding Scheme

MC-CIG - Support for training and career development of researcher (CIG)

Coordinator

UNIVERSITY OF CYPRUS
Address
Kallipoleos Street 75
1678 Nicosia
Cyprus
Activity type
Higher or Secondary Education Establishments
EU contribution
€ 50 000
Administrative Contact
Nicoleta Nicolaou-Pissarides (Ms.)