The Role of Caseworkers: Job Finding, Job Quality, and Determinants of Value-Added

Abstract We study the importance of caseworkers and their role in supporting unemployed job seekers. By exploiting as-if random variation, arising from job seekers in Sweden being assigned to caseworkers based on their date of birth, we estimate caseworker value-added along several dimensions. We show that caseworkers have meaningful effects on both job seekers’ time in unemployment and subsequent job quality. These effects also impact job seekers’ long-run outcomes. We find only weak trade-offs between different dimensions of value added. Leveraging detailed administrative data on both caseworkers and job seekers, we document that experienced caseworkers perform better than their less experienced counterparts. Caseworker work strategies are important in determining value added, and matching caseworkers to job seekers based on previous labor market experiences leads to better outcomes.