The role of social capital in the job-related regional mobility decisions of unemployed individuals

• The role of social capital in decision making about regional mobility is analysed.
• An experimental factorial survey controls the information effect of social ties.
• Hypothetical interregional jobs are offered to samples of employed and unemployed.
• Conflict-laden relationships with the social network and the household mobilise.
• Unemployed react more sensitive to these access restrictions to their social capital.

Social capital is an important factor in interregional mobility. Although most prior research has focused on its role in the job-finding process, this study investigates the function of social networks and the social capital embedded therein after an interregional job offer has been received. This subject is particularly important for the unemployed, who should be able to exploit a mobility strategy to re-enter the labour market. Unemployed persons rely on their social networks to cope with joblessness, but there is evidence that social contexts can also act as mobility traps for this group (Windzio, 2004). We examine whether the unemployed weight social capital in a unique manner when making decisions regarding mobility.To investigate these issues, we combine a factorial survey module (FSM) with data from the German “Labour market and social security” (PASS) panel study to generate representative samples of both unemployed and employed persons with a randomised mobility stimulus in the form of hypothetical interregional job offers. Our results reveal the mobilising effects of exposure to conflict-laden relationships with the social network and the household. These are particularly pronounced for unemployed persons, highlighting the importance of factors that influence decision making about mobility beyond simple economic considerations.