Workplace Health Promotion and Labour Market Performance of Employees

Working Paper: CEPR ID: DP10055

Authors: Martin Huber; Michael Lechner; Conny Wunsch

Abstract: This paper investigates the average effects of (firm-provided) workplace health promotion measures in form of the analysis of sickness absenteeism and health circles/courses on labour market out¬comes of the firms? employees. Exploiting linked employer-employee panel data that consist of rich survey-based and administrative information on firms, workers and regions, we apply a flexible propensity score matching approach that controls for selection on observables as well as on time-constant unob¬served fac¬tors. While the effects of analysing sickness absenteeism appear to be rather limited, our results suggest that health circles/courses increase tenure and decrease the number of job changes across various age groups. A key finding is that health circles/courses strengthen the labour force attachment of elderly em¬ployees (51-60), implying potential cost savings for public transfer schemes such as unemployment or early retirement benefits.

Keywords: analysis of sickness absenteeism; firm health policies; health circles; health courses; matching

JEL Codes: I10; I19; J32


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
health promotion measures (I14)tenure (M51)
health promotion measures (I14)job changes (J62)
health promotion measures (I14)labour force attachment of elderly employees (J14)
sickness absenteeism (J22)labour market outcomes (J48)
health promotion measures (I14)reliance on unemployment insurance (J65)

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