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Improving Labor Market Outcomes for Refugees in Developing Countries: Evidence from Uganda
Last registered on September 17, 2020

Pre-Trial

Trial Information
General Information
Title
Improving Labor Market Outcomes for Refugees in Developing Countries: Evidence from Uganda
RCT ID
AEARCTR-0006437
Initial registration date
September 17, 2020
Last updated
September 17, 2020 8:05 AM EDT
Location(s)

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Primary Investigator
Affiliation
Institute for International Economic Studies, Stockholm University
Other Primary Investigator(s)
PI Affiliation
Maastricht University
Additional Trial Information
Status
In development
Start date
2020-11-01
End date
2021-10-31
Secondary IDs
Abstract
Many governments and international institutions are working to create economic opportunities for refugees in prolonged crises. Yet refugees, especially in developing countries, may find it particularly hard to access local job markets. By exploring the Ugandan labor market for refugee and local young job seekers, this project will design and evaluate a program with the aim of reducing the prevalence of labor market discrimination against refugees. In collaboration with a local NGO, this study will provide employment subsidies to hire a refugee or a local job seeker. By studying the effect of exposure and how firms learn about the true productivity of workers, researchers will assess whether the program reduces the extent of discrimination and whether labor market outcomes improve.
External Link(s)
Registration Citation
Citation
Loiacono, Francesco and Mariajose Silva Vargas. 2020. "Improving Labor Market Outcomes for Refugees in Developing Countries: Evidence from Uganda." AEA RCT Registry. September 17. https://doi.org/10.1257/rct.6437-1.0.
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Experimental Details
Interventions
Intervention(s)
Intervention Start Date
2020-11-01
Intervention End Date
2021-10-31
Primary Outcomes
Primary Outcomes (end points)
Firms' outcomes (beliefs about refugees' productivity; revenues and profits; hire the refugee the firm has been introduced to). Refugees outcomes (salary; savings; job search behavior; social cohesion)
Primary Outcomes (explanation)
Secondary Outcomes
Secondary Outcomes (end points)
Co-workers' outcomes (beliefs about refugees' productivity)
Secondary Outcomes (explanation)
Experimental Design
Experimental Design
Firms will be randomly matched one-to-one with refugee job-seekers. The treatment status of each firm depends on the refugee they are matched to. Refugees are thus in a first step divided into two groups:

1) Certified: these refugees will be tested on practically acquired skills and will be provided with a complete certificate, officially recognized by the government of Uganda.
2) Non-certified: these refugees will be tested on practically acquired skills, but will receive a certificate of participation only.

Firms will be then asked to provide their willingness-to-hire the refugee worker they have been shown to. Conditional on their "WTP" they will be randomly provided with a short-term subsidy to hire the worker for one week. A subset of these firms will not receive any subsidy. We will then compare hiring decisions of firms receiving the subsidy versus the ones of firms not receiving the subsidy.
Experimental Design Details
Not available
Randomization Method
Randomization done by a computer
Randomization Unit
Individual level (refugees) and firm level
Was the treatment clustered?
No
Experiment Characteristics
Sample size: planned number of clusters
N/A
Sample size: planned number of observations
800 firms and 800 refugees
Sample size (or number of clusters) by treatment arms
Firms that are shown a certified worker: 100
Firms that are not shown a certified worker: 300
Firms that are shown a certified worker and receive the subsidy: 100
Firms that are not shown a certified worker and do not receive the subsidy: 300
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
The sample size of 200 individuals in the certification treatment and 600 in pure control, using willingess-to-hire a refugee as the outcome of interest, was chosen based on a power calculation, which showed that this sample is sufficient to detect effect sizes of 0.11 SD for all treatment vs. pure control firms with 92% power. This sample size will also allow the researchers to detect an increase of 29% in firms deciding to hire a refugee with a power of 80% (and confidence interval of 95%)
IRB
INSTITUTIONAL REVIEW BOARDS (IRBs)
IRB Name
IRB Approval Date
IRB Approval Number