Should local public employment services be merged with local social benefit administrations?

Sollten kommunale Arbeitsvermittlungsagenturen mit der kommunalen Sozialverwaltung fusioniert werden?

Christian Holzner and Sonja Munz ()
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Sonja Munz: Munich University of Applied Sciences

Journal for Labour Market Research, 2013, vol. 46, issue 2, 83-102

Abstract: Abstract The German Federal government has allowed local governments of some regions (Approved Local Providers) to be solely responsible for the care of unemployment benefit II recipients. In the remaining regions Joint Local Agencies were formed, where the local social benefit administrations work together with the local public employment services. We find that despite positive self-selection Approved Local Providers do not perform better than Joint Local Agencies. Even more interestingly, using a unique data set on organisational characteristics we are able to show that the organisational features implemented primarily by Approved Local Providers are positively correlated with the job finding probability of the unemployment benefits II recipients. Thus, local governments that self-selected into Approved Local Providers seem to have implemented a better organisational structure. However, their relatively poor performance overall compared to Joint Local Agencies suggests that they underestimated the benefits of having the local public employment service merged with the local social benefit administration.

Keywords: Organisation; labour market integration; evaluation; Organisation; Arbeitsmarktintegration; Evaluation (search for similar items in EconPapers)
JEL-codes: C31 I38 J64 (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (9)

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Journal Article: Should local public employment services be merged with local social benefit administrations? (2013)
Working Paper: Should Local Public Employment Services be Merged with the Local Social Benefit Administrations? (2011)
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DOI: 10.1007/s12651-012-0117-7

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