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Employment effects of a social and labor inclusion program

Author

Listed:
  • Pablo Blanchard

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

  • Matías Brum

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

  • Paula Carrasco

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

  • Cecilia Parada

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

  • Ivone Perazzo

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

Abstract

In this paper, we examine the effects of a social and labor inclusion program called Uruguay Trabaja (UT) on various labor market outcomes and subjective well-being in Uruguay. Using administrative data and a custom survey, we estimate the program’s causal effects by exploiting the random assignment of the beneficiaries. Our findings indicate that the UT program increases by 40% the probability of a beneficiary having a formal job between two and three years after the end of their participation in the program, and it improves satisfaction with different dimensions of employment, but does not affect the probability of being employed overall. Additionally, we provide evidence suggesting that these effects persist over time, up to three years after the intervention ended. This study highlights the importance of implementing comprehensive programs for vulnerable populations and of considering long-term effects when evaluating their effectiveness.

Suggested Citation

  • Pablo Blanchard & Matías Brum & Paula Carrasco & Cecilia Parada & Ivone Perazzo, 2023. "Employment effects of a social and labor inclusion program," Documentos de Trabajo (working papers) 23-02, Instituto de Economía - IECON.
    • Handle: RePEc:ulr:wpaper:dt-02-23
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    File URL: https://hdl.handle.net/20.500.12008/36790
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    References listed on IDEAS

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    1. Verónica Escudero & Jochen Kluve & Elva López Mourelo & Clemente Pignatti, 2019. "Active Labour Market Programmes in Latin America and the Caribbean: Evidence from a Meta-Analysis," Journal of Development Studies, Taylor & Francis Journals, vol. 55(12), pages 2644-2661, December.
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    Cited by:

    1. Andrés Dean & Fernanda Diab & Juan Olano & Agustín Reyes & Guillermo Sánchez-Laguardia & Juan Ignacio Urruty, 2023. "Empleo Garantizado por el Estado y Renta Básica Universal: estrategias para enfrentar el problema estructural del empleo precario," Documentos de Trabajo (working papers) 23-22, Instituto de Economía - IECON.

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    More about this item

    Keywords

    employment effects; public policy; inclusion program;
    All these keywords.

    JEL classification:

    • C9 - Mathematical and Quantitative Methods - - Design of Experiments
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies

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