What employment effects can be expected from the municipal pilot?

The article examines the municipal employment pilot, in which 125 municipalities will take responsibility for employment services transferred from TE Offices from 2021 onwards. The pilot concerns approximately 260,000 jobseekers, in particular the long-term unemployed, young people, and immigrants.

The potential benefits of the pilot relate to a reduction in the overlapping of services, faster activation, and better coordination of services. The risk, however, is the so-called lock-in effect, if jobseekers are directed into services rather than into jobs, as well as the wrong kinds of incentives for municipalities to shift costs to the state. Earlier pilots point precisely to this. The pilot does not create new jobs, and there is uncertainty about its effectiveness. (AI translation)

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