ABSTRACT

The inclusion of the groups of long-term and disadvantaged unemployed to employment could increase labour utilisation. The chapter addresses the question: How successful has the Czech public employment services been in including the long-term unemployed into the labour market in times after the crisis (2014–2016)? Examination of the heterogeneity of the net effects of ALMP measures among the different groups of unemployed and the impact of targeting is the main contribution.

Our findings indicate that, despite a modest quantity of the measures, the disadvantaged unemployed (those with low education, of older age and worse health status) and long-term unemployed are underrepresented in ALMP measures. At the same time, the analysis of the net effects of the ALMP measures shows very good outcomes, especially in a medium-term horizon and in the case of the long-term unemployed. Creaming-off within the group of the long-term unemployed is due to the limited and unstable financing of ALMP, mechanisms of ALMP measures delivery, inadequate staffing, and competences for front-line work. Despite these problems, ALMP programs contribute to better labour utilisation. Targeting the more disadvantaged unemployed is improving during time. The findings are consistent with the other studies on ALMP carried out in CEE countries.