This work estimates the employment activated by the National Recovery and Resilience Plan (PNRR) at the regional level for the construction sector, towards which most resources are directed. Moreover, several considerations are presented about possible channels through which the increased labour demand could be satisfied at the local level, taking into account regional heterogeneity in terms of workforce characteristics and mobility.
The impulse on labour demand stimulated by the Plan is estimated to be sizeable overall, but with a relevant regional heterogeneity. The impact is greater in the Southern regions, where there is also a large number of job seekers with previous experience in the construction sector. Interregional mobility and the use of foreign workers could help to increase employment, in particular in presence of local peaks in labour demand.
Forthcoming in: Journal of Industrial and Business Economics.