Arbeitspapier

Mandated Sick Pay: Coverage, Utilization, and Welfare Effects

This paper evaluates the labor market effects of sick pay mandates in the United States. Using the National Compensation Survey and difference-in-differences models, we estimate their impact on coverage rates, sick leave use, labor costs, and non-mandated fringe benefits. Sick pay mandates increase coverage significantly by 13 percentage points from a baseline level of 66%. Newly covered employees take two additional sick days per year. We find little evidence that mandating sick pay crowds-out other non-mandated fringe benefits. We then develop a model of optimal sick pay provision along with a welfare analysis. For a range of plausible parameter values, mandating sick pay increases welfare.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 13132

Klassifikation
Wirtschaft
Health Behavior
Health Insurance, Public and Private
Health: Government Policy; Regulation; Public Health
Time Allocation and Labor Supply
Safety; Job Satisfaction; Related Public Policy
Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
Thema
sick pay mandates
sick leave
medical leave
employer mandates
fringe benefits
moral hazard
unintended consequences
labor costs
National Compensation Survey (NCS)
welfare effects
optimal social insurance
Baily-Chetty

Ereignis
Geistige Schöpfung
(wer)
Maclean, J. Catherine
Pichler, Stefan
Ziebarth, Nicolas R.
Ereignis
Veröffentlichung
(wer)
Institute of Labor Economics (IZA)
(wo)
Bonn
(wann)
2020

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Maclean, J. Catherine
  • Pichler, Stefan
  • Ziebarth, Nicolas R.
  • Institute of Labor Economics (IZA)

Entstanden

  • 2020

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