Estimating the effect of a retraining program on the re-employment rate of displaced workers.(Report) Cavaco, Sandra

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Cavaco, Sandra
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Empirical Economics
Employment agencies.; Employment; Job hunting
Byline: Sandra Cavaco (1,2), Denis Fougere (3,4,5), Julien Pouget (5,6) Keywords: Evaluation; Retraining program; Displaced workers; Matching estimates; C41; J24; J64; J68 Abstract: In this article, we estimate the effects of a French retraining program on the re-employment rate of displaced workers by matching techniques. This program, called 'Conventions de conversion', was intended to improve re-employment prospects of displaced workers by proposing them retraining and job seeking assistance for a period of 6 months beginning just after the dismissal. Our empirical analysis is based upon non-experimental data collected by the French Ministry of Labour. Matching estimates show that this program succeeded in increasing the employment rate of trainees by approximately 6 points of percentage in the medium-term, namely in the 2nd and 3rd years after the date of entry into the program. This improvement is essentially due to an increase of their re-employment rate in regular jobs, namely jobs under long-term labour contracts. Author Affiliation: (1) LEM, Universite Pantheon-Assas, 92 rue d'Assas, 75270, Paris Cedex 06, France (2) CCP, Aahrus School of Business, Prismet, Silkeborgvej 2, 8000, Aarhus C, Denmark (3) CNRS and CREST, 15 Boulevard Gabriel Peri, 92245, Malakoff Cedex, France (4) CEPR, 90-98 Goswell Road, London, EC1V 7RR, UK (5) IZA, Schaumburg-Lippe-Str. 7/9, 53113, Bonn, Germany (6) CREST (INSEE), 15 Boulevard Gabriel Peri, 92245, Malakoff Cedex, France Article History: Registration Date: 01/07/2010 Received Date: 02/07/2008 Accepted Date: 04/12/2009 Online Date: 10/08/2010
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