"This paper explores whether wage, employment and tenure outcomes of workers taking up a job subsidized by the German Federal Employment Agency differ by industry. The analysis utilizes administrative data and statistical matching techniques; it covers an observation period of 3.5 years. First,...

"In Germany, targeted wage subsidies to employers are an important instrument of active labor market policy. This paper compares the wages of individuals taking up a subsidized job with those of otherwise similar individuals who found an unsubsidized job, combining propensity score matching with...

Our paper estimates the average effect of wage subsidies – paid to employers for a limited period of time – on the labour market prospects of needy job-seekers without access to insurance-paid 'unemployment benefit I'. The results show that wage subsidies had large and significant favourable...

"From 2002 - 2004, the German government passed several laws that curtailed the generosity of the unemployment compensation system. One of the most ambitious changes was a considerable reduction in unemployment benefit entitlement lengths for older unemployed, which was effective during 2006 and...

Purpose – The purpose of the paper is to estimate the effectiveness of two start‐up programs (bridging allowance and start‐up subsidy) in East Germany. Design/methodology/approach – Using a combination of administrative data from the Federal Employment Agency and a follow‐up survey...

Purpose – The paper aims to present an analysis of the indirect and direct effects of active labour market policy measures at the regional level for Western Germany. Design/methodology/approach – Most evaluation studies of active labour market policy focus on the microeconometric treatment...

Purpose – Employment protection legislation defines social criteria according to which firms can dismiss workers. If firms evade the law, then negotiation about compensation begins. To reduce the legal and financial uncertainty often associated with ex post bargaining, the German government...

Purpose – While forms of non‐standard employment (which include part‐time work and temporary employment) have received active promotion in recent years, possible negative effects emerging from these forms of employment have not been high on the agenda. This paper, accordingly, aims to...

Purpose – In 1997 minimum wages were introduced in the West and East German construction sector. The purpose of this paper is to analyze their impact on wage growth and employment retention probability of affected workers. Design/methodology/approach – Following a...