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Does a Minimum Job Search Requirement Reduce Time on Unemployment Payments? Evidence from the Jobseeker Diary in Australia

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  • Jeff Borland
  • Yi-Ping Tseng

Abstract

This study examines the impact of the Jobseeker Diary (JSD), a program designed to increase the job search effort of unemployed persons in Australia. The JSD program is distinguished by combining a focus on work search verification with large scale implementation. Applying a quasi-experimental matching method to data on unemployment spells occurring in 1997–98, the authors find that JSD participation was associated with an increased rate of exit from unemployment payment recipiency and a shorter total time spent on payments. Payment receipt duration is estimated to have fallen for about one-half of JSD participants. The largest effects of the JSD occurred for payment recipients for whom labor demand conditions were the most favorable. Cost-benefit analysis suggests a fairly large net societal gain per program participant.

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  • Jeff Borland & Yi-Ping Tseng, 2007. "Does a Minimum Job Search Requirement Reduce Time on Unemployment Payments? Evidence from the Jobseeker Diary in Australia," ILR Review, Cornell University, ILR School, vol. 60(3), pages 357-378, April.
    • Handle: RePEc:sae:ilrrev:v:60:y:2007:i:3:p:357-378
    DOI: 10.1177/001979390706000303
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    Cited by:

    1. Bart COCKX & Muriel DEJEMEPPE & Andrey LAUNOV & Bruno VAN DER LINDEN, 2011. "Monitoring, Sanctions and Front-Loading of Job Search in a Non-Stationary Model," LIDAM Discussion Papers IRES 2011042, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    2. Pedro S. Martins & Sofia Pessoa e Costa, 2014. "Reemployment effects from increased activation: Evidence from times of crisis," Working Papers 52, Queen Mary, University of London, School of Business and Management, Centre for Globalisation Research.
    3. Arni, Patrick & Schiprowski, Amelie, 2019. "Job search requirements, effort provision and labor market outcomes," Journal of Public Economics, Elsevier, vol. 169(C), pages 65-88.
    4. Pedro S. Martins & Sofia Pessoa e Costa, 2014. "Reemployment and substitution effects from increased activation: evidence from times of crisis," Nova SBE Working Paper Series wp590, Universidade Nova de Lisboa, Nova School of Business and Economics.
    5. Andrew Wright & Brian Dollery, 2020. "The impact of varying penalty values on compliance with unemployment payment requirements: An analysis using 2015/16 Australian National Data," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 23(1), pages 1-20.
    6. Cockx, Bart & Dejemeppe, Muriel, 2012. "Monitoring job search effort: An evaluation based on a regression discontinuity design," Labour Economics, Elsevier, vol. 19(5), pages 729-737.

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