The Lasting Effects of Working While in School: A Long-Term Follow-Up

Mery Ferrando, Noemi Katzkowicz (), Thomas Le Barbanchon () and Diego Ubfal
Additional contact information
Mery Ferrando: Tilburg University
Noemi Katzkowicz: Universidad de la Republica
Thomas Le Barbanchon: Bocconi University

No 18238, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper provides the first experimental evidence on the long-term effects of work-study programs, leveraging a randomized lottery design from a national program in Uruguay. Participation leads to a persistent 11 percent increase in formal labor earnings seven years after the program, driven by a 4 percent increase in the monthly probability of being employed and a 6 percent increase in monthly wages. Effects are significantly larger for men, while remaining positive for women. The program is highly cost-effective, outperforming most job training programs and reaching levels comparable to early childhood investments.

Keywords: school-to-work transition; youth employment; work-study program; long-term effects (search for similar items in EconPapers)
JEL-codes: I21 I26 J13 J24 J31 O15 (search for similar items in EconPapers)
Date: 2025-10
New Economics Papers: this item is included in nep-exp, nep-lma and nep-ure
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Related works:
Working Paper: The Lasting Effects of Working while in School: A Long-Term Follow-Up (2025)
Working Paper: The Lasting Effects of Working while in School: A Long-Term Follow-Up (2025)
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