In December 2012, the Hanzelijn between Lelystad and Zwolle, with a new station in Dronten, was opened. The researchers used this as a case to analyze the effects on the labor market outcomes of people who lived in Dronten before the new station opened. In recent policy debates, it is often emphasized that investments outside the Randstad should help strengthen the position of existing residents. Dronten was chosen because it was the only place on the Hanzelijn that was not previously connected to the rail network. Any effects would therefore have been particularly visible there.

More jobs accessible by public transport, but not from all neighborhoods

First, for each neighborhood in Dronten, it was examined to what extent the opening of the station improved public transport accessibility to jobs. It turns out that from almost all neighborhoods in the town of Dronten, about 3 to 9 times more jobs can be reached within 45 minutes by public transport than before. For other neighborhoods in the municipality, outside the town itself, fewer jobs can be reached by public transport within that travel time due to the reduction of regional bus services after the opening of the Hanzelijn. 

Estimating effects on labor market position

Subsequently, the labor market outcomes of residents in neighborhoods where job accessibility improved were analyzed. Changes in the proportion of people with paid work, the number of days per month people work in paid employment, and the hourly wage were examined. These outcomes could also have changed for reasons other than the arrival of the new train station, such as the recovering economy. Therefore, the changes in labor market outcomes of Dronten residents were compared with those of people living in neighborhoods where accessibility was similar to Dronten before the station opened, but where accessibility has not changed since (control neighborhoods). These analyses lead to the following conclusions.

No more frequent employment, but average hourly wage higher

After Dronten was connected to the Hanzelijn, the proportion of existing residents with paid work in that place did not increase more than in the control neighborhoods. They also did not work more hours. If the goal is to reduce unemployment, then a new railway line does not seem to have an effect. 

The average hourly wage of residents in paid employment did increase more in Dronten. This larger wage increase may be because they can reach new jobs via the Hanzelijn that pay better or better match their skills. However, the job supply has mainly increased for people who rely on public transport, as most jobs that are now also accessible by public transport thanks to the Hanzelijn were already accessible by car.

The effect of the construction of the Hanzespoorlijn on the labor market outcomes of new residents or how attractive Dronten is as a place to live was not examined in this study. The same applies to other positive effects the new railway line may have for Dronten residents, such as shorter public transport travel times to educational or healthcare locations outside the municipality. 

Investing in public transport can improve quality of life

Due to the greater spatial distribution of jobs and facilities in less urbanized regions, many residents use cars. However, investing in public transport, and specifically in railways, can be important for enhancing their quality of life. Public transport offers an alternative to the car to reach work when personal circumstances change. Moreover, car traffic has significant disadvantages, such as increased congestion, emissions of harmful substances, and traffic unsafety.

It is therefore important to explicitly define what is seen as a problem, what improvement is intended, and under what conditions that improvement can be achieved before investing in a new railway line.