Duration of Unemployment Benefits and Quality of Post-unemployment Jobs

Duration of Unemployment Benefits and Quality of Post-unemployment Jobs

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This paper investigates how the potential duration of unemployment benefits affects the quality of post-unemployment jobs. It takes advantage of a natural experiment introduced by a change in Slovenia's unemployment insurance law that substantially reduced the potential benefit duration. Although this reduction strongly increased job finding rates, the quality of the post-unemployment jobs remained unaffected. The paper finds that the law change had no effect on the type of contract (temporary versus permanent), the duration of the post-unemployment job, or the wage earned in the job.tential changes in the quality of post-unemployment jobs, we cannot rely solely on the exogenous variation of PBD introduced by the change in UI law. Even if we observe, for example, that shortened PBD is associated with changes in theanbsp;...


Title:Duration of Unemployment Benefits and Quality of Post-unemployment Jobs
Author: Jan C. van Ours, Milan Vodopivec
Publisher:World Bank Publications - 2006
ISBN-13:

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