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THE PROBABILITY OF PLACEMENT BY THE PUBLIC EMPLOYMENT SERVICE
Authors:STEVEN M DIRECTOR  FRED ENGLANDER  PATTI V MOELLER
Institution:STEVEN M. DIRECTOR received his Ph.D. from the Northwestern University Graduate School of Management. He has served on the faculty of Michigan State University and as a Staff Associate at the Brookings Institute. He is current Chair of the Department of Industrial Relations and Human Resources at Rutgers University.;FREDERICK ENGLANDER received his Ph.D. in Economics from Rutgers University. He has taught at St. Peters College and is currently an Associate Professor teaching managerial economics in the Fairleigh Dickinson University Graduate School of Business Administration.;PATTI V. MOELLER did her graduate work in Political Science and Public Policy at Rutgers University. She has worked as a planner for the Comprehensive Employment and Training Program. At the time this article was prepared she was a Research Associate at the Rutgers Center for Human Resources. She is currently employed by IBM.
Abstract:In a typical year, the United States Employment Service places over 4 million persons from among 16 million applicants. This investigation of which applicants are most likely to be placed shows that placement occurs in two labor market segments, corresponding roughly to the primary and secondary labor markets described in the economic literature. The equity and efficiency implications o f devoting a substantial percentage o f Employment Service resources t o secondary labor market placements are considered. Several states currently use Employment Service data as a source of local labor market information. An argument is made that these states are misusing this data and suggestions for improvements are offered.
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