Policy Challenges

The interplay between labor market policies and institutions and ongoing trends related to the changing world of work is at the core of IZA’s research team “Policy Challenges”. Globalization, international migration, demographic change, technological progress and climate change present serious challenges to policy-makers around the world. They have to respond to questions arising from rapidly transforming skill demands, changing employment and income opportunities as well as novel workplace environments faced by workers and firms. At the same time, policy measures may have important and potentially unintended consequences for the future transformation of the world of work.

Currently, our research activities focus on the following questions:

  • How do workers and firms respond to labor market policy reforms?
  • What are the labor market consequences of migration episodes for natives and migrants and how can policy measures mitigate them?
  • What is the impact of environmental factors and policies on human capital and labor market outcomes?



Dr. Nico Pestel (Team Leader)