Abstract

Abstract In Germany, social investment can be crucial for disadvantaged young adults, as intergenerational mobility is low and credentials are decisive for employment. However, the literature on policy implementation calls attention to ‘Matthew effects’, by which the most disadvantaged often have the least access to social investment. We contribute to ongoing research on Matthew effects by examining whether the worst-off among young German welfare recipients are assigned to active labour market policy measures that are more advantageous or less advantageous. Findings for a register sample of 20–22 year olds in 2014 support hypotheses that those with the lowest education and employment experience participate less often in the most advantageous measures; particularly in firm-based upskilling and employment assistance, and more often in measures that proved to be not as beneficial, such as workfare programmes. On a positive note, welfare experience during adolescence as an indicator of low socio-economic status in the family of origin does not additionally affect access to social investment policy measures.

Highlights

  • Over the past two decades, Europe has been developing policy measures to advance equal opportunities among young people, and this has not been without challenges

  • In Germany, educational credentials are important for successful labour market entry (Shavit & Müller, 1998; Walther, 2006)

  • Our findings indicate that young welfare recipients with lower human capital have lower probabilities of participating in firm-based measures

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Summary

Introduction

Over the past two decades, Europe has been developing policy measures to advance equal opportunities among young people, and this has not been without challenges. The 2008 financial crisis hit young people hardest with dramatically elevated unemployment rates and an increasingly precarious labour market (Schoon & Bynner, 2019). Since the EU and member states have adjusted their strategies to overcome new challenges in reducing inequalities and long-term interruptions from participating in the labour market, education or training (ec, 2013; Eurofound, 2014, 2017; Higgins, 2018). New policies imply strengthening human capital of young adults with a view to enabling them to sustainably (re)integrate into the labour market (ec, 2012, 2013)

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