Auckland University of Technology (AUT), Faculty of Business, Economics and Law, Auckland
We focus on New Zealand's clean slate legislation to analyze whether automatic concealment of criminal records improves ex-offenders' labor market outcomes. Based on the legislation's eligibility requirements, we utilize detailed court charges information to identify comparable groups of ex-convicts who are subsequently linked to a population-wide tax register that documents monthly employment information. We use a difference-indifferences framework to compare clean slate-eligible individuals to former convicts who are approaching eligibility. Our analysis reveals that the clean slate scheme has no statistically relevant impact on employment propensity. However, we find a significant 2-2.5% increase in monthly wages during the post-implementation period.
Clean Slate Court Charges data Monthly Tax Records Conviction Employment Earnings Difference-in-Differences Tripledifference