Arbeitspapier

Does Sick Pay Affect Workplace Absence?

Higher replacement rates often imply higher levels of absenteeism, yet even in generous welfare economies, private sick pay is provided in addition to the public sick pay. Why? Using comparative workplace data for the UK and Norway we show that the higher level of absenteeism in Norway compared to UK is related to the threshold in the Norwegian public sick pay legislation. This threshold's importance is confirmed in a Regression Kinked Design (RKD) analysis on the Norwegian micro-data. Private sick pay is provided as an employer-provided non-wage benefit and when training costs are high.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 11222

Classification
Wirtschaft
Fiscal Policies and Behavior of Economic Agents: Household
Time Allocation and Labor Supply
Safety; Job Satisfaction; Related Public Policy
Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
Subject
absenteeism
public sick pay
private sick pay
comparative

Event
Geistige Schöpfung
(who)
Bryson, Alex
Dale-Olsen, Harald
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2017

Handle
Last update
10.03.2025, 11:46 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Bryson, Alex
  • Dale-Olsen, Harald
  • Institute of Labor Economics (IZA)

Time of origin

  • 2017

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