Improving Access to Jobs and Earnings Opportunities : The Role of Activation and Graduation Policies in Developing Countries
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World Bank, Washington, DC
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Throughout the developing world there is
a growing demand for advice on the design of policies to
facilitate access of the most vulnerable individuals to
jobs, while reducing their dependency from public income
support schemes. Even though these policies are common to
both the activation and graduation agendas, a separation is
needed as the graduation of beneficiaries out of poverty is
a much more ambitious agenda. This paper proposes a simple
policy framework highlighting the most common barriers for
productive employment. It also reviews the topic of
incentive compatibility of income support schemes and
employment support programs that are used to address them.
The paper finds that, especially in middle income countries,
activation and active labor market programs play an
important role connecting individuals to jobs and improving
earnings opportunities. In low income countries, these
programs are far from being a panacea to graduate
beneficiaries out of poverty. Furthermore, only scant
evidence is available on the pathways to graduation and
significant knowledge gaps remain. More cross-disciplinary
research is needed to strengthen the evidence base and
develop recommendations for different contexts and capacity levels.
Palabras clave
ACCESS TO MARKETS, ACCOUNTABILITY, ACCOUNTING, ACTIVE LABOR, ACTIVE LABOR MARKET, ACTIVE LABOR MARKET POLICY, ACTIVE LABOR MARKET PROGRAMS, ADMINISTRATIVE COSTS, ADULT EDUCATION, ASSISTANCE PROGRAMS, BENEFICIARIES, BENEFICIARY, BENEFIT AMOUNT, BENEFIT LEVEL, BENEFIT LEVELS, BORROWING, CAPITAL MARKETS, CASH TRANSFERS, CLAIMING UNEMPLOYMENT, CONDITIONAL CASH, CONTROL GROUPS, CULTURAL FACTORS, CULTURE OF DEPENDENCY, DECLINING UNEMPLOYMENT, DELIVERY MODELS, EARLY RETIREMENT, ECONOMIC CRISIS, ECONOMIC DOWNTURNS, ECONOMIC RECOVERY, ELIGIBILITY REQUIREMENTS, EMPLOYABILITY, EMPLOYMENT EFFECTS, EMPLOYMENT OFFICES, EMPLOYMENT OPPORTUNITIES, EMPLOYMENT PROGRAMS, EMPLOYMENT SERVICES, EMPLOYMENT STATUS, EXTERNAL FINANCING, FAMILY ALLOWANCES, FAMILY BENEFIT, FEE WAIVERS, FINDING WORK, FOOD AID, FOOD TRANSFERS, FORMAL LABOR MARKET, GDP, GMI, GROSS DOMESTIC PRODUCT, GUARANTEED MINIMUM INCOME, HEALTH INSURANCE, HEALTH ORGANIZATION, HOUSEHOLD CONSUMPTION, HOUSEHOLD ENTERPRISES, HOUSEHOLD HEADS, HOUSEHOLD INCOME, HOUSEHOLD INCOMES, HOUSEHOLD SURVEY, HOUSEHOLD SURVEYS, HUMAN CAPITAL, HUMAN DEVELOPMENT, IMPACT EVALUATION, INCENTIVE SCHEMES, INCOME DISTRIBUTION, INCOME POVERTY, INCOME SUPPORT, INCOME SUPPORT PROGRAM, INCOME SUPPORT PROGRAMS, INCOME SUPPORT SYSTEMS, INCOME TAX CREDITS, INCOME TRANSFER, INCOME TRANSFERS, INFORMAL EMPLOYMENT, INFORMAL SECTOR, INFORMAL SECTOR WORKERS, INNOVATION, INSURANCE SCHEMES, INSURANCE SYSTEMS, JOB LOSS, JOB OFFERS, JOB SEARCH, JOB SEARCH ASSISTANCE, JOB SEARCH WORKSHOP, JOB TRAINING, JOBS, LABOR DEMAND, LABOR FORCE, LABOR FORCE PARTICIPATION, LABOR MARKET CONDITIONS, LABOR MARKET INTERVENTIONS, LABOR MARKET OUTCOMES, LABOR MARKETS, LABOR ORGANIZATION, LABOR POLICIES, LABOR PRODUCTIVITY, LABOR REGULATIONS, LABOR RESOURCES, LABOR SUPPLY, LACK OF SKILLS, LIMITED CAPACITY, LONG TERM UNEMPLOYMENT, MACROECONOMIC STABILITY, MARKET WAGE, MINIMUM INCOME, MINIMUM WAGE, MONITORING COSTS, MORAL HAZARD, NUTRITION, OCCUPATIONS, PARTICIPATION OF BENEFICIARIES, PARTTIME EMPLOYMENT, PAYROLL TAXES, PENSION, POLITICAL ECONOMY, POOR, POOR INFRASTRUCTURE, POOR PEOPLE, POVERTY RATES, PRIVATE COMPANY, PRIVATE PROVIDERS, PRIVATE PROVISION, PRIVATE SECTOR, PRODUCTIVE EMPLOYMENT, PROGRAM CONDITIONAL, PROGRAM DESIGN, PROGRAM EFFECTIVENESS, PROGRAM ELIGIBILITY, PROGRAM EVALUATION, PROPERTY RIGHTS, PROTECTION SYSTEM, PROTECTION SYSTEMS, PUBLIC EMPLOYMENT, PUBLIC EMPLOYMENT SERVICES, PUBLIC SUPPORT, PUBLIC TRANSFERS, PUBLIC WORKS, PUBLIC WORKS PROGRAMS, REEMPLOYMENT BONUS, RESERVATION WAGE, RISK MANAGEMENT, RURAL, RURAL AREAS, SAFETY, SAFETY NET, SAFETY NET PROGRAMS, SAFETY NETS, SAVINGS, SAVINGS ACCOUNTS, SELF EMPLOYED, SELF TARGETING, SERVICE PROVIDERS, SHORT TERM EMPLOYMENT, SINGLE MOTHERS, SKILLED WORKERS, SKILLS DEVELOPMENT, SKILLS TRAINING, SOCIAL ACTION, SOCIAL ACTION FUND, SOCIAL ASSISTANCE, SOCIAL BENEFITS, SOCIAL CAPITAL, SOCIAL INSURANCE, SOCIAL PENSIONS, SOCIAL POLICIES, SOCIAL POLICY, SOCIAL PROGRAMS, SOCIAL PROTECTION, SOCIAL SAFETY NET, SOCIAL SAFETY NETS, SOCIAL SECURITY, SOCIAL SERVICES, SOCIAL WELFARE, SOCIAL WORKERS, SSN, TARGETED TRANSFERS, TARGETING, TAX CREDITS, TAXATION, TRAINING PROGRAMS, TRAINING REQUIREMENTS, TRANSITION ECONOMIES, TREATMENT GROUPS, UNEMPLOYED, UNEMPLOYMENT, UNEMPLOYMENT BENEFIT, UNEMPLOYMENT BENEFITS, UNEMPLOYMENT DURATION, UNEMPLOYMENT INSURANCE, UNEMPLOYMENT SPELL, UNSKILLED LABOR, UNSKILLED WORK, VOCATIONAL TRAINING, VOCATIONAL TRAINING PROGRAMS, VULNERABLE INDIVIDUALS, WAGE RATES, WAGE SUBSIDIES, WAGE SUBSIDY, WAGE WORK, WAGES, WELFARE PROGRAMS, WELFARE RECIPIENTS, WORK ACTIVITIES, WORK EXPERIENCE, WORK INCENTIVES, WORK PROGRAM, WORK REQUIREMENT, WORKER, WORKERS, WORKFARE, WORKFARE PROGRAMS, WORKING CAPITAL, YOUTH EMPLOYMENT, activation, incentive compatibility