Does Apprenticeship Improve Job Opportunities? A Regression Discontinuity Approach

Matteo Picchio and Stefano Staffolani

No 7719, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: In Italy the reforms of the last twenty years shaped a dual labour market with different levels of employment protection for permanent jobs, on one side, and temporary jobs like apprenticeships and fixed-term contracts, on the other side. The main difference between apprentices and other types of temporary workers is that the former should receive firm-provided training. The firm incentive in hiring apprentices consists in the possibility to pay lower wages and in a reduction in labour taxes. Using an Italian administrative longitudinal dataset containing information on all the job contracts started between January 2009 and June 2012, we estimate hazard functions towards permanent jobs and contrast the ones of apprentices with those of other types of temporary workers. The hazard function estimates based on a regression discontinuity approach affirm that apprenticeships are sorts of "long entrance halls" towards open-ended contracts, especially within the same firm where the apprenticeship was performed.

Keywords: regression discontinuity; permanent work; temporary work; apprenticeship; hazard function (search for similar items in EconPapers)
JEL-codes: C36 C41 J24 J41 (search for similar items in EconPapers)
Pages: 44 pages
Date: 2013-11
New Economics Papers: this item is included in nep-bec, nep-eur, nep-hrm and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (22)

Published - published in: Empirical Economics, 2019, 56 (1), 23-60

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Related works:
Journal Article: Does apprenticeship improve job opportunities? A regression discontinuity approach (2019)
Working Paper: Does Apprenticeship Improve Job Opportunities? A Regression Discontinuity Approach (2013)
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