The Effects on Sick Leave of Changes in the Sickness Insurance System
2001 (English)Report (Other academic)
In order to get a more complete picture of how labor supply is affected by economic incentives, the effects on absenteeism and not just on contracted hours should be taken into account. In particular, the effects on absenteeism due to sick leave can be considerable. In this paper we examine whether the level of sick leave compensation affects sick leave behavior. Using time-series data for Sweden spanning a long period (1955-99) with numerous changes of the compensation level, we generally find strong effects of the expected sign. Reforms implying more generous compensation for sick leave tend to be associated with permament increases in total sick leave per person employed and vice versa. These findings are reinforced in a panel study covering the 1983-91 period.
Place, publisher, year, edition, pages
Stockholm: IIES , 2001. , 36 p.
Seminar Paper / Institute for International Economic Studies, Stockholm University. (Online), ISSN 1653-610X
Absenteeism, labor supply, sick leave, sickness insurance, social security
IdentifiersURN: urn:nbn:se:su:diva-41179OAI: oai:DiVA.org:su-41179DiVA: diva2:328851