Young people in education and in the labour market – a book on the Hungarian labour market

Young people who experienced unemployment for over a year after leaving school, will spend on average 6 weeks more in registered unemployment (or public works), 3-to-5 years later.  If they do find a job, their salary is likely to be 10pp lower.

The 2019 volume of The Hungarian Labour Market discusses the labour market and employment status of Hungarian youth. This volume also contains the first Hungarian study to show that school leavers experiencing unemployment face negative effects later in their careers: lower wages and poorer chances of employment. The study authored by BI senior researcher Márton Csillag, estimates the long-term harms early unemployment can cause (the so-called scarring effect), using the linked administrative dataset of the Databank of Centre for Economic and Regional Studies (CERS).

The book fills a long time gap in the empirical analysis of youth unemployment. Other chapters in the book written by BI researchers discuss the school to work transition, the status of Roma youth and evaluate the impact of labour market policy interventions targeted at youth.

The volume was edited jointly by Márton Csillag (BI and CERS), Ágota Scharle (BI) and Zoltán Hermann (CERS). In the case of a few chapters, CERS - Institute of Economics (CERS-IE) commissioned in-depth research, which was supported by the Ministry of Finance.