Understanding Employers’ Use of Labor Market Intermediaries in Filling Low-Level Jobs: Attracting Retainable Employees or Replenishing High-Turnover Jobs?

Abstract

Labor market intermediaries (LMIs) play a key role in helping disadvantaged job seekers secure jobs and potentially escape poverty. This research examines LMI use from the vantage point of frontline human resource (HR) managers in Chicago hotels. Findings suggest that, overall, HR managers are more likely to use LMIs to fill lower- as opposed to higher-quality jobs. When filling lower-quality jobs, managers turn indiscriminately to several LMIs to fill job openings quickly. When filling higher-quality jobs, managers, especially those with autonomy, adopt a targeted approach, engaging LMIs they believe refer retainable workers. Directions for improving workforce development efforts are discussed.

KEYWORDS:

• welfare to work
• poverty alleviation
• families in poverty
• social welfare policy