Demand matters: spatial inequality and the school-to-work transition
|Day:||Wed 3 Jul|
The scarring effects of youth unemployment are well documented. This paper investigates whether young people located in places of weak labour demand are at greater risk of long periods of unemployment and insecurity at the beginning of the career than similar peers located in places of strong labour demand. Using survival analysis to analyse data from the British Household Panel Survey and the German Socio-Economic Panel, it finds that spatial variation in labour demand is associated with considerable variation in the amount of time it takes British and German labour market entrants with low qualifications to secure employment, following departure from full-time education or apprenticeship training. On average, those with low qualifications (defined as ISCED lower secondary and below) located in places of weak labour demand experience 1-3 month longer periods of labour market lockout and 6-9 month longer periods of labour market insecurity than similar peers located in places of strong labour demand. These findings have important implications for both policy and sociological understanding of risk during the transition from school to work.