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Factors Affecting Return to Work after Injury: A study for the Victorian WorkCover Authority

Author

Listed:
  • David Johnson

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Tim Fry

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

Abstract

Speedy and efficacious return to work of recovered or recovering workers is a central objective of workers compensation authorities. However, many of the factors that facilitate return to work are not well understood. This paper aims to shed light on these issues by utilizing a sample from the administrative records of workers compensation claimants in Victoria for the financial years 1993/94 to 1997/98. We separately model payments made as pensions (weekly payments) and payments made as lump sums to meet medical purposes (non-weekly claims). Two part model specifications are employed to model both the incidence of a payment and the duration or amount of that payment. The results show that claimant characteristics, characteristics of the accident, industry, employer and insurer characteristics influence the incidence, duration and cost of workers compensation claims.

Suggested Citation

  • David Johnson & Tim Fry, 2002. "Factors Affecting Return to Work after Injury: A study for the Victorian WorkCover Authority," Melbourne Institute Working Paper Series wp2002n28, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    • Handle: RePEc:iae:iaewps:wp2002n28
    as

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    File URL: http://melbourneinstitute.unimelb.edu.au/downloads/working_paper_series/wp2002n28.pdf
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    References listed on IDEAS

    as
    1. John Mullahy, 1998. "Much Ado About Two: Reconsidering Retransformation and the Two-Part Model in Health Economics," NBER Technical Working Papers 0228, National Bureau of Economic Research, Inc.
    2. White, Halbert, 1982. "Maximum Likelihood Estimation of Misspecified Models," Econometrica, Econometric Society, vol. 50(1), pages 1-25, January.
    3. Kevin Purse, 1998. "Workers' Compensation, Employment Security and the Return to Work Process," The Economic and Labour Relations Review, , vol. 9(2), pages 246-261, December.
    4. Heckman, James & Singer, Burton, 1984. "A Method for Minimizing the Impact of Distributional Assumptions in Econometric Models for Duration Data," Econometrica, Econometric Society, vol. 52(2), pages 271-320, March.
    5. Mullahy, John, 1998. "Much ado about two: reconsidering retransformation and the two-part model in health econometrics," Journal of Health Economics, Elsevier, vol. 17(3), pages 247-281, June.
    6. Gourieroux, Christian & Monfort, Alain & Trognon, Alain, 1984. "Pseudo Maximum Likelihood Methods: Applications to Poisson Models," Econometrica, Econometric Society, vol. 52(3), pages 701-720, May.
    7. Rochelle V. Habeck & H. Allan Hunt & Brett Van Tol, "undated". "Workplace Factors Associated with Preventing and Managing Work Disability," Upjohn Working Papers hah19981, W.E. Upjohn Institute for Employment Research.
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    Cited by:

    1. Vani Borooah & John Mangan, 2009. "Home is where the hurt is: an econometric analysis of injuries caused by spousal assault," Applied Economics, Taylor & Francis Journals, vol. 41(21), pages 2779-2787.
    2. Jennifer Christian, 2015. "Establishing Accountability to Reduce Job Loss After Injury or Illness," Mathematica Policy Research Reports 658ecb01c8894c9fa2bfe8758, Mathematica Policy Research.

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    More about this item

    JEL classification:

    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies

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