[Are Two-Year Vocational Retraining Programs Really Better than One-Year Programs? Findings of a Propensity Score...

To analyze if one- and 2-year vocational retraining programs achieve similar effects on employment.

Analyses were performed with longitudinal administrative data. We included persons aged 18-59 years, who started their retraining between January and June 2005. One- and 2-year program participants were matched by propensity scores.

The matched groups were balanced regarding all baseline scores (one-year program: n=514; 2-year program: n=514). 4 and 5 years after start of the vocational retraining program, annual income, the duration of welfare benefits and the risk of a disability pension were comparable in both groups. However, the accumulative income between 2005 and 2009 was 9 294 Euro higher (95% CI: 3 656-14 932 Euro) in one-year retraining participants. Moreover, participants of one-year programs received less welfare benefits.

The development of a vocational rehabilitation strategy needs to consider the accumulative advantage of one-year programs.