Working Papers
The Heterogeneous Effect of Employment Agencies Program on Labor Force Behavior in Algeria: A Dynamic Approach
No.
1444
Publisher
ERF
Date
December, 2020
This paper examines whether the employment agencies program adopted by the Algerian government in 2008, have impacted the labor force behavior. Using repeated cross-section data from the Household Survey on Employment from 1997 to 2014, and a difference-indifference method with heterogeneous effects across gender and cities, we estimate whether the new program has reduced unemployment. Whether it is through the insertion of the unemployed into the labor market or if it has a positive effect on unemployment by pushing people to participate more within the labor force . Our results show that offering fixed term contracts through employment agencies, has pushed people to have more labor force participation. However and because the employment agencies ‘s way in getting job is still weak , the impact on labor market insertion was no significant. By taking the heterogeneous effects across gender and cities, the findings indicate that primary education women who are living far from the cities center have less chance even in labor market insertion or in labor force participation.
Research Associates
Ali Souag
Assistant Professor, University of Mascara, Algeria