Research Paper

The Effects of Active Labor Market Policies for Immigrants Receiving Social Assistance in Denmark

We estimate the effect of active labour market programs on the exit rate to regular employment for non-western immigrants in Denmark who receive social assistance. We use the timing-of-events duration model and rich administrative data. We find large positive post program effects, and, surprisingly, even most in-program effects are positive. The effects are largest for subsidized employment programs, but effects are also large and significant for direct employment programs and other programs. The effects are larger if programs begin after six months of unemployment. Implications of our estimates are illustrated by calculating effects on the duration to regular employment over a five-year period.

The Determinants of Older Canadians’ Labor Force Attachment

With a rapidly aging demographic, the labour force attachment of older Canadians has become a key area of policy research for mitigating ensuing economic issues. This paper examines the labour force attachment of older Canadians aged 50 years and older through the use of four labour force outcomes: labour force participation, employment status, full-time full-year status, and retirement status. Two sub-samples are created based on age to compare the impact and change in behavior of individuals approaching the normal retirement age of 65 (i.e. 50-64) to those who have passed this age (i.e. 65+). Furthermore, genders are analyzed separately in order to assess the differences in behavior between men and women. Determinants for the fouroutcomes are also assessed. These include, but are not limited to, age group, marital status, educational attainment, region of residence, and presence of children in the household. Of the analyzed determinants, the results suggest that age is the most impactful factor for men and women in both the 50-64 and 65+ sub-samples. Compared to the youngest age categories, older individuals are less likely to have strong labour force attachment. Marital status and educational attainment also demonstrate to be important determinants for the labour market outcomes of older workers. The results for marital status suggest differing experiences for men and women in the 50-64 and 65+ sub-samples and those for educational attainment generally show that higher educational attainment is associated with stronger labour force attachment.