Duration of Non-Work Spells in the Workers' Compensation Insurance System: Unionized vs. Non-Unionized Workers
AbstractThis paper analyzes the effect of unions on the duration of non- work spells of claimants in the workers' compensation insurance system. It has been argued that a union may affect the duration of non-work spells in two ways. First, a union may alter the true level of workplace safety and, in turn, affect both the frequency and severity of work-related injuries ('true safety' effect). Second, a union may influence workers' incentives to file claims or stay in the system for the longer non-work spell ('claims-reporting moral hazard' effect). This study analyzes 9,818 workers' compensation claims filed with the Minnesota Department of Labor and Industry for injuries that occurred in 1993 and 1994 in 873 sample firms included in the Minnesota Human Resource Management Practice (MHRMP) Survey. To correct for the right-censoring data problem, we use a maximum likelihood estimate of duration of nonwork spells using the Weibull distribution. Empirical results show that being a union member is associated with a 19% increase in the duration of non-work spells. This means that, on average, the non-work spells are approximately ten days longer for workers from unionized firms as compared to their non-unionized counterparts in the sample of this study.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Human Resources and Labor Studies, University of Minnesota (Twin Cities Campus) in its series Working Papers with number 1202.
Date of creation:
Date of revision:
Contact details of provider:
Postal: 3-300 Carlson School of Management, 321 19th Avenue South, Minneapolis, MN 55455-0438
Phone: (612) 624-2500
Fax: (612) 624-8360
Web page: http://www.chrls.csom.umn.edu/
More information through EDIRC
This paper has been announced in the following NEP Reports:
- NEP-ALL-2002-12-09 (All new papers)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- David Card & Brian P. McCall, 1996.
"Is Workers' Compensation covering uninsured medical costs? Evidence from the "Monday effect.","
Industrial and Labor Relations Review,
ILR Review, Cornell University, ILR School, vol. 49(4), pages 690-706, July.
- David Card & Brian P. McCall, 1994. "Is Workers' Compensation Covering Uninsured Medical Costs? Evidence from the 'Monday Effect'," Working Papers 706, Princeton University, Department of Economics, Industrial Relations Section..
- David Card & Brian P. McCall, 1995. "Is Workers' Compensation Covering Uninsured Medical Costs? Evidence fromthe `Monday Effect'," NBER Working Papers 5058, National Bureau of Economic Research, Inc.
- Yong-Seung Park & Richard J. Butler, 2001. "The Safety Costs of Contingent Work: Evidence from Minnesota ," Journal of Labor Research, Transaction Publishers, vol. 22(4), pages 832-849, October.
- Barry T. Hirsch & David A. MacPherson & J. Michael Dumond, 1997. "Workers' Compensation recipiency in union and nonunion workplaces," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 50(2), pages 213-236, January.
- Craig A. Olson, 1981. "An Analysis of Wage Differentials Received by Workers on Dangerous Jobs," Journal of Human Resources, University of Wisconsin Press, vol. 16(2), pages 167-185.
- Krueger, Alan B., 1990.
"Incentive effects of workers' compensation insurance,"
Journal of Public Economics,
Elsevier, vol. 41(1), pages 73-99, February.
- Alan B. Krueger, 1990. "Incentive Effects of Workers' Compensation Insurance," NBER Working Papers 3089, National Bureau of Economic Research, Inc.
- Duncan, Greg J & Stafford, Frank P, 1980. "Do Union Members Receive Compensating Wage Differentials?," American Economic Review, American Economic Association, vol. 70(3), pages 355-71, June.
- W. Kip Viscusi, 1979. "The Impact of Occupational Safety and Health Regulation," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 117-140, Spring.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mary Helen Walker).
If references are entirely missing, you can add them using this form.