SERIE RE5ERREH mERIORHHDR EMPLOYERS' RECRUITMENT BEHAVIOUR AND RE-EMPLOYMENT PROBABILITIES OF UNEMPLOYED

This paper is focused on the allocation of vacant jobs to job seekers from a demand side perspective by studying the recruitment behaviour of employers. A model is developed to analyze the role of search and selection methods of employers as determinants of the re-employment probabilities of the unemployed. In an empirical application for the Dutch labour market, we have examined the effect of the recruitment behaviour of employers on the chances for unemployed individuals to get a job. This is carried out by testing whether the probability of acquiring a vacant job by an unemployed individual is influenced by the use of different recruitment channels by the employer and the requirements for the applicants imposed by the employer. We find that job requirements for the applicants are the most important determinant of the re-employment probability of the unemployed. In addition, the use of search methods by the employer does also have a significant effect.