Abstract

Active labour market policy is connected with the necessity to account for the funds allocated for it. The conducted analysis forms a part of research on the evaluation of the effects of changes introduced by legal regulations. The aim of this research is to assess the impact of changes to the methodology of calculating on values of the cost and employment effectiveness of basic forms of economic activation in Poland. They were introduced in 2015 in connection with ongoing discussion regarding the effectiveness of the evaluation methods used. The Ministry of Economic Development, Labour and Technology is currently responsible for activating the unemployed in Poland, and funds come from the Labour Fund. The analysis used is the regression discontinuity design. This analysis showed that significant changes occurred only in the slope of the regression line for cost effectiveness after 2015 for both procedures of its calculation. This shows that the new, introduced methods of calculating effectiveness were cosmetic in nature and did not significantly affect their values. A good recommendation for improving the method of evaluating forms of economic activation of the unemployed could be to extend the time of required employment.

Highlights

  • One of the most important economic and social problems in the modern world is the phenomenon of unemployment

  • In order to ensure that the assessment of the effectiveness of different programmes against unemployment is the same in the Member States benefiting from EU funds, the European Commission for the assessment of their effectiveness proposed counterfactual methods, which were included in the publication Design and Commissioning of Counterfactual

  • In 2015, the methodology for calculating the employment effectiveness for the basic forms of professional activation changed and the conditions under which an activated person can be considered employed changed. This resulted in a change in the value of both forms of effectiveness, while the cost of participation of the unemployed in the forms of professional activation did not change

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Summary

Introduction

One of the most important economic and social problems in the modern world is the phenomenon of unemployment. In the case of unemployment, research may concern many problems, such as: the identification of groups of people at risk of long-term unemployment, assessment of the impact of implemented programmes on getting people out of unemployment, and monitoring the spending of funds allocated for these purposes. These analyses are largely based on the research work of James Heckman (Heckman et al 1999), winner of the Nobel Prize in Economics. In the United States, the income effects of active employment programmes

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