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Welfare to Temporary Work: Implications for Labor Market Outcomes

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Author Info
Carolyn J. Heinrich (University of Wisconsin-Madison)
Peter R. Mueser (University of Missouri-Columbia)
Kenneth R. Troske (University of Missouri-Columbia and IZA)

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Abstract

We explore the effects of temporary help employment on welfare recipients' subsequent employment and welfare dynamics. We find that any employment-in temporary help services or other sectors-yields substantial benefits compared to no employment. Although welfare recipients who go to work for temporary help service firms have lower initial wages than those with jobs in other sectors, they experience faster subsequent wage growth. Two years later, they are no less likely to be employed, their wages are close to those of other workers, and they are only slightly more likely to remain on welfare. Copyright (c) 2005 President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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Publisher Info
Article provided by MIT Press in its journal Review of Economics and Statistics.

Volume (Year): 87 (2005)
Issue (Month): 1 (December)
Pages: 154-173
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Handle: RePEc:tpr:restat:v:87:y:2005:i:1:p:154-173

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Alison L. Booth & Marco Francesconi & Jeff Frank, 2002. "Temporary Jobs: Stepping Stones Or Dead Ends?," Economic Journal, Royal Economic Society, vol. 112(480), pages F189-F213, June. [Downloadable!] (restricted)
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  2. Lee, Lung-Fei, 1983. "Generalized Econometric Models with Selectivity," Econometrica, Econometric Society, vol. 51(2), pages 507-12, March. [Downloadable!] (restricted)
  3. James Heckman & Hidehiko Ichimura & Jeffrey Smith & Petra Todd, 1998. "Characterizing Selection Bias Using Experimental Data," Econometrica, Econometric Society, vol. 66(5), pages 1017-1098, September.
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  4. Susan N. Houseman & Anne E. Polivka, 1999. "The Implications of Flexible Staffing Arrangements for Job Stability," Staff Working Papers 99-56, W.E. Upjohn Institute for Employment Research. [Downloadable!] (restricted)
  5. Joseph Gyourko & Joseph Tracy, 1986. "An Analysis of Public and Private Sector Wages Allowing for Endogenous Choices of Both Government and Union Status," NBER Working Papers 1920, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  6. Michael D. S. Morris & Alexander Vekker, 2001. "An Alternative Look at Temporary Workers, Their Choices, and the Growth in Temporary Employment," Journal of Labor Research, Transaction Publishers, vol. 22(2), pages 373-390, April. [Downloadable!] (restricted)
  7. Timothy J. Bartik, 1997. "Short-Term Employment Persistence for Welfare Recipients: The "Effects" of Wages, Industry, Occupation and Firm," Staff Working Papers 97-46, W.E. Upjohn Institute for Employment Research. [Downloadable!] (restricted)
  8. Segal, Lewis M & Sullivan, Daniel G, 1997. "The Growth of Temporary Services Work," Journal of Economic Perspectives, American Economic Association, vol. 11(2), pages 117-36, Spring. [Downloadable!] (restricted)
  9. Lewis M. Segal & Daniel G. Sullivan, 1997. "Temporary services employment durations: evidence from state UI data," Working Paper Series, Macroeconomic Issues WP-97-23, Federal Reserve Bank of Chicago.
  10. V. J. Hotz & J. K. Scholz, . "Measuring Employment and Income for Low-Income Populations with Administrative and Survey Data," Institute for Research on Poverty Discussion Papers 1224-01, University of Wisconsin Institute for Research on Poverty. [Downloadable!]
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