This paper aims to assess the impact of the Moroccan wage subsidy program "Idmaj". It applies the propensity score matching method to the data from a survey conducted by the Ministry of Labour on a sample of eligible individuals. Our results suggest that wage subsidies in Morocco have a positive but marginally significant effect on reducing unemployment and improving employment and a significant negative impact on wages. It also highlights some heterogeneous effects of the program, particularly on women. Finally, it appears that the program did not serve as a stepping stone to higher-paying, high-quality work and, in contrast, it had a stigmatizing effect on beneficiaries.
CITATION STYLE
Chatri, A., Hadef, K., & Samoudi, N. (2021). Micro-econometric evaluation of subsidized employment in morocco: the case of the “Idmaj” program. Journal for Labour Market Research, 55(1). https://doi.org/10.1186/s12651-021-00300-5
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