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Mismatch, long-term unemployment and post-COVID labour market programmes in the Nordic countries

Author

Listed:
  • Forslund, Anders

    (IFAU - Institute for Evaluation of Labour Market and Education Policy)

Abstract

This paper explores post-pandemic developments and analyses post-COVID matching dynamics in the Nordic labour markets. It also discusses the role of institutions and the policies implemented to address labour market mismatch in the region. The COVID-19 pandemic brought about a recession, with a rapid and sizeable downturn in the Nordic labour markets. They rebounded rapidly, however, and most aggregate measures of labour market performance returned to pre-pandemic levels in 2021. Employment rates continued to rise and exceeded pre-pandemic levels in the first quarter of 2023. Meanwhile, high vacancy and unemployment rates continued to coexist after the pandemic. However, Sweden is the only Nordic country to show signs, albeit ambiguous ones, of increased labour market mismatch after the pandemic.

Suggested Citation

  • Forslund, Anders, 2025. "Mismatch, long-term unemployment and post-COVID labour market programmes in the Nordic countries," Working Paper Series 2025:5, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    • Handle: RePEc:hhs:ifauwp:2025_005
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    More about this item

    Keywords

    employment; unemployment; labour market matching; active labour market policies;
    All these keywords.

    JEL classification:

    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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