Abstract

Despite the decline of unemployment in recent years, long-term unemployment remains one of the major challenges for the German labour market. For that reason another two active labor market programmes were introduced in 2019. Both measures address long-term unemployed people with very poor labour market prospects. While the key objective of the first measure is to improve participants’ chances on the regular job market, the second one intends to strengthen participants’ prospects of social inclusion. Both programmes are designed as a wage subsidy for employers. The evaluation aims at a comprehensive analysis of the institutional implementation, the operational use at the establishment level as well as the individual effects of both labour market programmes. Therefore the scientific evaluation considers the following aspects:          Module 1: Implementation of both measures at the job center Level          Module 2: Implementation of both measures at the establishment Level          Module 3: Development of employability and social participation          Module 4: Effects on employment and benefit recipt A total of seven research units of the IAB are involved in the evaluation. The Research Coordination is responsible for the overall coordination of the project. In December 2020 and 2023, the IAB will report to the German parliament on the progress and results of the Evaluation.