Why don’t employers hire long-term unemployed entitled to a wage subsidy? The employer’s perspective on subsidised employment

Despite a generous system with high wage subsidies for the long-term unemployed and newly arrived immigrants, many Swedish employers do not make use of this opportunity. This study seeks to increase knowledge why some opportunity others not. Both register survey data combined are used. One finding is that lack information about subsidy programmes, although had previously employed subsidised workers were much more likely employ them in future. Thus, key policy question how present these reduce barrier. The also found hired people from groups altruistic motives. However, responded they would person entitled subsidy, regardless content scheme.