Working Paper: CEPR ID: DP7094
Authors: Sandra Cavaco; Denis Fougre; Julien Pouget
Abstract: In this paper we estimate by matching techniques the effects of a French retraining program on the reemployment rate of laid-off workers. This program, called ?Conventions de conversion?, was intended to improve reemployment prospects of displaced workers by proposing them retraining and job seeking assistance for a period of six months beginning just after the dismissal. Our empirical analysis is based upon non-experimental data collected by the French Ministry of Labour. Matching estimates show that this program succeeded in increasing the employment rate of trainees by approximately 6 points of percentage in the medium-term, namely in the second and third years after the date of entry into the program. This improvement is essentially due to an increase of their reemployment rate in regular jobs, namely jobs under long-term labour contracts.
Keywords: displaced workers; evaluation; matching estimates; retraining program
JEL Codes: C41; J24; J64; J68
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Participation in the retraining program (M53) | Increases the employment rate of trainees (J24) |
| Participation in the retraining program (M53) | Increases the reemployment rate in regular jobs (J68) |
| Participation in the retraining program (M53) | Facilitates stable employment (J68) |
| Participation in the retraining program (M53) | Positive effect on employment outcomes (J68) |
| Without intervention (C69) | More likely to be reemployed in temporary jobs (J63) |
| Subgroup differences (C92) | Program is particularly beneficial for men and adult workers aged 30 to 50 years (J24) |