Hiring young, unskilled workers on subsidized open-ended contracts: a good integration programme?

Abstract : Young labour-market entrants account for a high level of unemployment and short-term contracts. In July 2002, the French government moved to reduce this insecurity at the start of working life by introducing the Youth-in-business Contract (Contrat Jeune en Entreprise), a new contract for young people under 22 years old who dropped out of school before passing their final secondary school examinations. Under this scheme, firms were entitled to claim a subsidy when they hired an eligible young worker on an open-ended contract. We assess the impact of the Youth-in-business Contract on transitions to permanent employment by estimating a dynamic difference-in-difference model drawing on the French Labour Force Survey. We use a new method, inspired by Keane and Sauer (2009), to deal with measurement errors in the data. We find that programme eligibility has no effect on transitions to permanent employment in a recession environment.
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Article dans une revue
Oxford Review of Economic Policy, Oxford University Press (OUP), 2011, 27 (2), pp.380-396. 〈10.1093/oxrep/grr016〉
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Soumis le : mardi 20 novembre 2012 - 09:53:10
Dernière modification le : mercredi 18 avril 2018 - 12:24:31

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Muriel Roger, Philippe Zamora. Hiring young, unskilled workers on subsidized open-ended contracts: a good integration programme?. Oxford Review of Economic Policy, Oxford University Press (OUP), 2011, 27 (2), pp.380-396. 〈10.1093/oxrep/grr016〉. 〈halshs-00754538〉

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