Virtues of SIN

Abstract

The labor market integration of immigrants is a top political priority throughout the Organization for Economic Cooperation and Development (OECD) countries. Social and fiscal gains, as well as sustained future labor supply make governments search for effective policies to increase employment among the mostly disadvantaged. The author studies SIN, a Swedish pilot workplace introduction program targeting these groups, using very detailed individual data and allowing for effects through several channels. The results show increased transitions from unemployment to work experience schemes and improved future employment probabilities for those who entered these schemes. A rough calculation suggests that each job year created cost about Euro 30,000.