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https://doi.org/10.3935/rsp.v19i3.1100
Evaluation of Active Labour Market Policies in 2009 and 2010 in the Republic of Croatia
Teo Matković
; Department of Social Work, Faculty of Law, University of Zagreb, Croatia
Zdenko Babić
; Studijski centar socijalnog rada, Pravni fakultet Sveučilišta u Zagrebu
Annamaria Vuga
Abstract
This report brings forth an evaluation of Active labour market policy programmes ran by Croatian Public Employment Service (HZZ) in 2009 and 2010. We observed whether participants were registered with HZZ as unemployed persons at several points in time after their participation in programme ceased. Effectiveness was analytically evaluated by the application of matching techniques, as we compared outcomes of participants with control group comprised of unemployed persons with similar observable characteristics who did not participate in measures. We evaluated five measures for which appropriate matching could be enacted: (1) employment subsidies for the youth with no employment experience, (2) long-term unemployed and (3) older unemployed persons; (4) training programmes for the unemployed and (5) public works. Within the observed period, expenses and coverage of ALMPs were on increase, although Croatia still lags considerably in this respect after most EU countries. Results of this quasi-experimental evaluation approach do not indicate that participation bears a particularly strong effect with respect to the observed outcome. Participants in all three employment subsidy programmes were less likely to be in unemployment than controls for the first two years after subsidies ceased, but the advantage of participants was declining over time, and the matching effect is likely overestimated as it does not account for creaming effect, as selection of (more employable) candidates was done on employer initiative. Education programmes on the average turned out to reduce probability of leaving unemployment for a year after participation (due to programme effect), and within the two years (maximal observed time span) probability of being unemployed for participants of training programmes was about the same (or minimally lower) than for comparable non-participants. However, education measures turned to be more effective when certain subpopulations were observed: persons without upper secondary education, persons who entered unemployment from inactivity (not regular education) and among persons who have not spent a very long period in unemployment prior to participation. Participation in public work programmes was estimated to have increased mid-term unemployment risk for participants, but this has to be understood through both programme effect and selection of the most vulnerable unemployed in public works. Additionally, higher probability of being in unemployment among public work participants when compared to controls can be interpreted in terms of activation – if they did not participate in public work, more of them might have left unemployment for inactivity (which likely happened to many statistical twins with whom they were matched). In conclusion, the number of persons who were estimated not to be in unemployment due to ALMP participation compared with total funding in order to estimate efficiency of spending for each ALMP was evaluated.
Keywords
active labour market policies; evaluation
Hrčak ID:
93491
URI
Publication date:
6.12.2012.
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