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Mental Illness and Labour Market Outcomes: Employment and Earnings

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Author Info

  • Nielsen-Westergaard, N.
  • Agerbo, E.
  • Eriksson, T.
  • Mortensen, P.B.

Abstract

This paper investigates the effect of severe mental illness on the capacity to hold a job and to earn an income. We find that the employment rate is reduced with about 1/3 during the development of the disease. Hospital admission seems to stabilize employment for all diagnoses. The employment rate after hospital treatment is about 35% lower for cases than for controls and varies somewhat depending on diagnosis. On average, those who keep their jobs have 20% lower earnings compared to a control group. We use longitudinal data from labour market registers covering a 5% sample of the Danish adult population followed from 1976 to 1993 merged with data from the Central Psychiatric Case Register which covers all cases of hospitalizations with psychiatric disorders and their diagnoses since 1969. At the time of admission, we match all patients with people from the same cohort and gender. Both groups are then followed for several years before and after time of admission.

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Bibliographic Info

Paper provided by Centre for Labour Market and Social Research, Danmark- in its series Papers with number 99-04.

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Length: 18 pages
Date of creation: 1999
Date of revision:
Handle: RePEc:fth:clmsre:99-04

Contact details of provider:
Postal: Danmark; Centre for Labour Market and Social Research. Science Park Aarhus Wieds Vej 10C, 8000 Aarhus C, Danmark
Phone: +45 8942 2350
Fax: +45 8942 2365
Email:
Web page: http://www.cls.dk/
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Related research

Keywords: EMPLOYMENT ; HEALTH ; INCOME;

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Cited by:
  1. Westergaard-Nielsen, Niels, 2001. "Danish Labour Market Policy: Is it worth it?," CLS Working Papers 01-10, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  2. Ortega, Jaime, 2000. "Job Rotation as a Mechanism for Learning," CLS Working Papers 00-4, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  3. Pedersen, Peder J. & Smith, Nina, 2001. "International Migration and Migration policy in Denmark," CLS Working Papers 01-5, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  4. repec:ese:iserwp:2009-31 is not listed on IDEAS

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