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Education, Work, and Life ChancesLabor Market Policy and Employment

Education, Work, and Life Chances

Research Unit: Labor Market Policy and Employment





Discussion Paper SP I 2007-101 Abstract



Petra Kaps, Holger Schütz
Privatisierung von Arbeitsvermittlungsdienstleistungen – Wundermittel zur Effizienzsteigerung?
Eine Bestandsaufnahme deutscher und internationaler Erfahrungen

 



Recent reform proposals assume efficiency gains of further privatization of public placement services. However, since 1998 private placement services in Germany have been subsidized and governed by contracting out and by vouchers. This paper presents theoretical and empirical findings about these forms of privatization. General requirements for managing contracts and vouchers at quasi-markets, and up-to-date results of the evaluation of the so called Hartz-reforms are presented, focussed on three new placement programmes relying on private service delivery. Moreover, recent studies on contracting out of placement ser-vices in Australia, Great Britain and the Netherlands are reflected. In light of the German and international experiences, the prospects to increase the efficiency of placement services by privatization are considered to be limited due to the ambitious requirements and regulation needs of quasi-markets. Alternatively, a significant increase of the local discretion of the public employment agencies could improve the overall efficiency of placement services, an option which has not been sufficiently taken into account yet.
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Full text  (in German)
52 pages


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SP I 2007-101

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