{"id":421145,"date":"2025-01-27T10:37:44","date_gmt":"2025-01-27T09:37:44","guid":{"rendered":"https:\/\/www.wifo.ac.at\/publication\/421145\/"},"modified":"2025-01-29T10:37:51","modified_gmt":"2025-01-29T09:37:51","slug":"the-role-of-vacancy-posting-and-unemployed-hiring-in-start-up-success","status":"publish","type":"publication","link":"https:\/\/www.wifo.ac.at\/en\/publication\/421145\/","title":{"rendered":"The Role of Vacancy Posting and Unemployed Hiring in Start-up Success"},"content":{"rendered":"","protected":false},"featured_media":0,"template":"","class_list":["post-421145","publication","type-publication","status-publish","hentry"],"acf":{"subtitle":"","text":"Using a unique combination of Austrian administrative data, we show that start-ups' search and hiring decisions matter for their business success. Firms that report vacancies to the Public Employment Service in the early stage of their existence stay longer in the market and grow stronger. Moreover, while hiring the unemployed can benefit start-ups, the timing is crucial. Hiring within the first six months increases exit risk, whereas hiring in the second half-year reduces it. This is probably due to the nature of the positions filled. Key management positions, often filled early, seem to be better suited for other employees. Conversely, once the management team is in place, hiring the unemployed for \"regular\" positions fosters survival and growth. This pattern holds for different subgroups of the unemployed. Evidence of learning effects suggests that positive experiences with early PES involvement and unemployed hires encourage continued use of these practices later on.","onlinedate":"2025-01-27 09:37:45","lang":"English","publication_series":"","publication_date":"20250127","publication_date_year":"","publication_date_full":true,"publication_num_pages":"31","keywords":"[\"Start-ups\",\"Recruitment\",\"Vacancy Posting\",\"Hiring\",\"Unemployed\",\"Public Employment Service\",\"Survival\"]","jelcodes":"[\"D22\",\"J21\",\"J23\",\"J63\",\"J71\",\"M13\"]","related_publications":"[]","pdf":421268,"zip":null,"link":"","monthly_report":true,"monthly_report_main":false,"monthly_report_volume":"","monthly_report_pages":"","monthly_report_pages_sort":"0","issue":"696","journal":"WIFO Working Papers","publisher":"","invisible":false,"external":false,"embargo_date":null,"types":[44410],"research_groups":[3510],"collaboration":"","persons":[4999,3581,5151,3684,421122],"persons_data":"[{\"personId\":4999,\"personName\":\"Stefan Angel\",\"organisationNames\":[]},{\"personId\":3581,\"personName\":\"Rainer Eppel\",\"organisationNames\":[]},{\"personId\":5151,\"personName\":\"Elisabeth Fidrmuc\",\"organisationNames\":[]},{\"personId\":3684,\"personName\":\"Helmut Mahringer\",\"organisationNames\":[]},{\"personId\":421122,\"personName\":\"Andrea Weber\",\"organisationNames\":[\"CEU\",\"RFBerlin\"]}]","clients":[],"subclients":[],"partners":[],"topics":[],"host_publication_title":"","host_publication_subtitle":"","place_of_publication":"","host_publication_editors":"[]","type_description":"","output_media":"","chapter":"","article_number":"","citations":"{\"apa\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_apa rendering_contributiontoperiodical rendering_apa rendering_contributiontoperiodical_apa\\\"><span>Angel, S.<\\\/span><span>, Eppel, R.<\\\/span><span>, Fidrmuc, E.<\\\/span><span>, Mahringer, H.<\\\/span>, &amp; Weber, A. (2025). <span>The Role of Vacancy Posting and Unemployed Hiring in Start-up Success<\\\/span>. <span><em>WIFO Working Papers<\\\/em><\\\/span>, (696).<\\\/div>\",\"vancouver\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_vancouver rendering_contributiontoperiodical rendering_vancouver rendering_contributiontoperiodical_vancouver\\\"><span>Angel S<\\\/span><span>, Eppel R<\\\/span><span>, Fidrmuc E<\\\/span><span>, Mahringer H<\\\/span>, Weber A. <span class=\\\"title\\\"><span>The Role of Vacancy Posting and Unemployed Hiring in Start-up Success<\\\/span><\\\/span>. <span>WIFO Working Papers<\\\/span>. 2025 Jan 27;(696).<\\\/div>\",\"bibtex\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_bibtex rendering_contributiontoperiodical rendering_bibtex rendering_contributiontoperiodical_bibtex\\\"><div>@misc{c523c6a960fc4a6aa334f18b48c4c149,<\\\/div><div>  title    = \\\"The Role of Vacancy Posting and Unemployed Hiring in Start-up Success\\\",<\\\/div><div>  abstract = \\\"Using a unique combination of Austrian administrative data, we show that start-ups' search and hiring decisions matter for their business success. Firms that report vacancies to the Public Employment Service in the early stage of their existence stay longer in the market and grow stronger. Moreover, while hiring the unemployed can benefit start-ups, the timing is crucial. Hiring within the first six months increases exit risk, whereas hiring in the second half-year reduces it. This is probably due to the nature of the positions filled. Key management positions, often filled early, seem to be better suited for other employees. Conversely, once the management team is in place, hiring the unemployed for {\\\"}regular{\\\"} positions fosters survival and growth. This pattern holds for different subgroups of the unemployed. Evidence of learning effects suggests that positive experiences with early PES involvement and unemployed hires encourage continued use of these practices later on.\\\",<\\\/div><div>  keywords = \\\"Start-ups, Recruitment, Vacancy Posting, Hiring, Unemployed, Public Employment Service, Survival\\\",<\\\/div><div>  author   = \\\"Stefan Angel and Rainer Eppel and Elisabeth Fidrmuc and Helmut Mahringer and Andrea Weber\\\",<\\\/div><div>  year     = \\\"2025\\\",<\\\/div><div>  month    = jan,<\\\/div><div>  day      = \\\"27\\\",<\\\/div><div>  language = \\\"English\\\",<\\\/div><div>  journal  = \\\"WIFO Working Papers\\\",<\\\/div><p>}<\\\/p><\\\/div>\",\"ris\":\"<div class=\\\"rendering rendering_researchoutput  rendering_researchoutput_ris rendering_contributiontoperiodical rendering_ris rendering_contributiontoperiodical_ris\\\"><p>TY  - GEN<\\\/p><p>T1  - The Role of Vacancy Posting and Unemployed Hiring in Start-up Success<\\\/p><p>AU  - Angel, Stefan<\\\/p><p>AU  - Eppel, Rainer<\\\/p><p>AU  - Fidrmuc, Elisabeth<\\\/p><p>AU  - Mahringer, Helmut<\\\/p><p>AU  - Weber, Andrea<\\\/p><p>PY  - 2025\\\/1\\\/27<\\\/p><p>Y1  - 2025\\\/1\\\/27<\\\/p><p>N2  - Using a unique combination of Austrian administrative data, we show that start-ups' search and hiring decisions matter for their business success. Firms that report vacancies to the Public Employment Service in the early stage of their existence stay longer in the market and grow stronger. Moreover, while hiring the unemployed can benefit start-ups, the timing is crucial. Hiring within the first six months increases exit risk, whereas hiring in the second half-year reduces it. This is probably due to the nature of the positions filled. Key management positions, often filled early, seem to be better suited for other employees. Conversely, once the management team is in place, hiring the unemployed for \\\"regular\\\" positions fosters survival and growth. This pattern holds for different subgroups of the unemployed. Evidence of learning effects suggests that positive experiences with early PES involvement and unemployed hires encourage continued use of these practices later on.<\\\/p><p>AB  - Using a unique combination of Austrian administrative data, we show that start-ups' search and hiring decisions matter for their business success. Firms that report vacancies to the Public Employment Service in the early stage of their existence stay longer in the market and grow stronger. Moreover, while hiring the unemployed can benefit start-ups, the timing is crucial. Hiring within the first six months increases exit risk, whereas hiring in the second half-year reduces it. This is probably due to the nature of the positions filled. Key management positions, often filled early, seem to be better suited for other employees. Conversely, once the management team is in place, hiring the unemployed for \\\"regular\\\" positions fosters survival and growth. This pattern holds for different subgroups of the unemployed. 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