Artikel

Effects of face-to-face counselling on unemployment rate and duration: evidence from a Public Employment Service reform

In a Public Employment Service reform implemented in 2013, sixty Finnish municipalities experienced an involuntary employment office closure. The Government's objective was to replace traditional face-to-face employment counselling with modern online counselling and simultaneously generate savings in outlays. The reform created natural experiment circumstances that allowed us to estimate the aggregate causal effects of face-to-face counselling and advice. We estimated the effects of the reform on the unemployment rate and the average unemployment duration using municipality-level panel data and various panel data estimators. We found that while the reform had a barely discernible effect on municipal unemployment rates, it increased average unemployment durations by 2-3 weeks. Hence, face-to-face counselling and online counselling are not perfect substitutes in decreasing the length of unemployment spells. Consequently, the fiscal costs of the reform outweigh the fiscal benefits by a large margin.

Sprache
Englisch

Erschienen in
Journal: Journal for Labour Market Research ; ISSN: 2510-5027 ; Volume: 54 ; Year: 2020 ; Issue: 1 ; Pages: 1-14 ; Heidelberg: Springer

Klassifikation
Wirtschaft
Unemployment: Models, Duration, Incidence, and Job Search
State and Local Government: Other Expenditure Categories
Single Equation Models; Single Variables: Panel Data Models; Spatio-temporal Models
Thema
Counselling
Reform
Unemployment
Microdata

Ereignis
Geistige Schöpfung
(wer)
Vehkasalo, Ville
Ereignis
Veröffentlichung
(wer)
Springer
(wo)
Heidelberg
(wann)
2020

DOI
doi:10.1186/s12651-020-00276-8
Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Artikel

Beteiligte

  • Vehkasalo, Ville
  • Springer

Entstanden

  • 2020

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