News article
Can lottery-based summer jobs shape young people's future?
Malmö City annually allocates summer jobs to thousands of high school students in the municipality through a lottery system. Researchers at Lund University are now investigating whether these short-term opportunities can have consequences that extend far beyond the summer.
Forte Magasin invited summer workers from across Sweden to share their experiences. Pictured: summer workers in Leksand Municipality. Photo: Sofia Sjögren
For over 30 years, Malmö City has offered paid summer internships to local youth through the project Ung i sommar. A notable detail is that since 2011, the positions have been randomly allocated among applicants. In practice, the initiative functions as a large-scale social experiment, which provides a valuable foundation for research. This is according to Petter Lundborg, professor of economics at Lund University, who is examining the long-term effects of early work experience in a new research project funded by Forte.
– We are taking advantage of the fact that this summer job program is essentially designed as a very large randomized trial. Some young people are randomly selected to gain early work experience, while others are not. It’s a fantastic setup that is exciting for a researcher. It simplifies the methodology.
Unemployed at a young age can have long-term negative effects
Previous research shows that unemployment, especially at a young age, can have long-term negative effects. Periods without work can look unfavorable on a CV, and individuals miss out on experiences and skills that may be needed in the labor market. However, there is limited research on the effects of early work experience, particularly causal studies, Petter explains.
– There are a small number of studies from the US - Chicago, Boston, New York - often conducted in extreme and segregated areas, where fairly positive effects have been observed, especially when it comes to crime. But regarding the effect on other outcomes, there has been no real consensus, and it's also uncertain whether the studies from the US are applicable in a Swedish context.
The basis for the research project consists of lists from Malmö City showing which of the 40,000 young people who applied for summer jobs between 2014 and 2021 were granted a job and which were not. This data is then linked to registry data from Statistics Sweden (SCB) to examine the impact of the summer jobs on a range of outcomes later in life, such as school performance, income, financial assistance, unemployment, crime, and health.
All the data has now been collected, but there is still a lot of work to be done before any conclusions can be drawn, says Petter Lundborg.
– We’ve received an enormous number of files from SCB. So now begins the fairly extensive task of compiling everything and conducting our analyses.
According to Henrik Drakhed, head of section at the Department of Labour Market and Social Services in Malmö City, the collaboration with Lund University is a welcome opportunity to give the initiative a scientific foundation.
– We want to ensure that the measures we take are evidence-based. And since there isn’t much long-term research on the effects of summer jobs or internships, we found it very interesting when Petter reached out to us.
The idea is to ensure equal opportunities for everyone, regardless of background.
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Henrik Drakhed
Head of the Department of Labour Market and Social Services at Malmö City
No previous experience required
In other municipalities that offer summer jobs, young people apply in the conventional way - by submitting a CV and cover letter and competing for jobs based on their qualifications. But in Malmö, there are no requirements for prior knowledge or experience. All young people aged 16 to 19 who are registered residents of Malmö can submit a digital application where they check off the types of jobs they’re interested in, for example, culture, children and leisure, or healthcare. The positions are then allocated by lottery across associations, the private sector, and various departments within Malmö City, explains Henrik.
– Allocating jobs by lottery is a way to avoid disadvantaging groups that already have weak connections to employers. The idea is to ensure equal opportunities for everyone, regardless of background.
Another hope is that the summer jobs will help young people discover professions in shortage areas that they might not otherwise consider. For example, getting insight into what it’s like to work in healthcare or preschool, which may challenge their preconceived notions of those professions.
– About half of the young people who were allocated a position later say they could imagine studying or working in that field. So the lottery system also has the benefit of helping young people discover new career paths.
Socially vulnerable areas are overrepresented
The applicants come from all over Malmö, although socially vulnerable areas are somewhat overrepresented. This year, just over 6,400 applications were submitted for 3,800 jobs. That represents about 50 percent of the population and is a record high, says Henrik.
– In recent years, the number of applications has only increased. So regardless of the research aspect, it’s clear that interest is high, and we can rely on the fact that the initiative has been very popular and appreciated by young people over all these years.
However, it’s likely that the long-term effects will vary depending on the young people's socioeconomic backgrounds, says Petter Lundborg.
– The groups with the weakest ties to the labor market—where parents may be unemployed and social networks are limited—could potentially see strong positive effects. Among youth from more advantaged backgrounds, these randomly allocated jobs may be less significant, as they are more likely to be able to find work on their own.
Thomas Wedérus, summer workers Lena Lindkvist (English translation by Forte)
