The Effects of Relaxing the Work Search Requirement on Job Match Quality
The work search requirement has been a central part of unemployment insurance (UI) in the United States since the system began in the 1930s. Although necessary to reduce the moral hazard associated with UI, it could also pressure workers into accepting a relatively poor job match, leading to lower long-term earnings. The aim of this research was to examine the effects of eliminating the work search requirement on post-unemployment job match quality. We used nine years of follow-up wage records of the Washington Alternative-Work Search experiment to estimate the causal effects of eliminating the work search requirement on UI claimants’ post-unemployment tenure, long-term employment and earnings.
Summit Consulting LLC
UNEMPLOYMENT, DISABILITY, and INCOME SUPPORT PROGRAMS; Unemployment insurance