Do temporary help jobs improve labor market outcomes for low-skilled workers?

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Do temporary help jobs improve labor market o ...
David H. Autor
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December 12, 2020 | History

Do temporary help jobs improve labor market outcomes for low-skilled workers?

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"A disproportionate share of low-skilled U.S. workers is employed by temporary help firms. These firms offer rapid entry into paid employment, but temporary help jobs are typically brief and it is unknown whether they foster longer-term employment. We draw upon an unusual, large-scale policy experiment in the state of Michigan to evaluate whether holding temporary help jobs facilitates labor market advancement for low-skilled workers. To identify these effects, we exploit the random assignment of welfare-to-work clients across numerous welfare service providers in a major metropolitan area. These providers feature substantially different placement rates at temporary help jobs but offer otherwise similar services. We find that moving welfare participants into temporary help jobs boosts their short-term earnings. But these gains are offset by lower earnings, less frequent employment, and potentially higher welfare recidivism over the next one to two years. In contrast, placements in direct-hire jobs raise participants' earnings substantially and reduce recidivism both one and two years following placement. We conclude that encouraging low-skilled workers to take temporary help agency jobs is no more effective - and possibly less effective - than providing no job placements at all"--National Bureau of Economic Research web site.

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Language
English

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Edition Notes

Includes bibliographical references.
Title from PDF file as viewed on 11/30/2005.
Also available in print.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.

Published in
Cambridge, MA
Series
NBER working paper series ;, working paper 11743, Working paper series (National Bureau of Economic Research : Online) ;, working paper no. 11743.

Classifications

Library of Congress
HB1

The Physical Object

Format
Electronic resource

ID Numbers

Open Library
OL3459392M
LCCN
2005399810

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December 12, 2020 Edited by MARC Bot import existing book
March 12, 2010 Edited by WorkBot update details
December 10, 2009 Created by WorkBot add works page