The German government introduced in 2005 a fundamental labor market reform, which emphasizes the activation of unemployed welfare recipients. A variety of active labor market policies (ALMPs) should help the unemployed find a job or increase their employability. One important activation program...

In 2005, a large-scale direct job creation programme – the so-called One-Euro-Jobs – was introduced in Germany. One-Euro-Jobs are mainly temporary, part-time non-profit-sector jobs, which have to be additional and of public interest. Their central goal is to improve the employability and in...