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New Evidence on the Determinants of Absenteeism Using Linked Employer-Employee Data

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Abstract

In this paper, we provide new evidence on the determinants of absenteeism using the Workplace Employee Survey (WES) 1999-2002 from Statistics Canada. Our paper extends the typical labour-leisure model used to analyze the decision to skip work to include firm-level policy variables relevant to the absenteeism decision and uncertainty about the cost of absenteeism. It also provides a non-linear econometric model that explicitly takes into account the count nature of absenteeism data and unobserved heterogeneity at both the individual and firm level. Controlling for very detailed demographic, job and firm characteristics (including workplace practices), we find that dissatisfaction with contracted hours is a significant determinant of absence.

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File URL: http://www.hec.ca/iea/cahiers/2005/iea0504_bd.pdf
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Bibliographic Info

Paper provided by HEC Montréal, Institut d'économie appliquée in its series Cahiers de recherche with number 05-04.

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Length: 38 pages
Date of creation: Jun 2005
Date of revision:
Handle: RePEc:iea:carech:0504

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Postal: Institut d'économie appliquée HEC Montréal 3000, Chemin de la Côte-Sainte-Catherine Montréal, Québec H3T 2A7
Phone: (514) 340-6463
Fax: (514) 340-6469
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Web page: http://www.hec.ca/iea/
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Postal: Institut d'économie appliquée HEC Montréal 3000, Chemin de la Côte-Sainte-Catherine Montréal, Québec H3T 2A7
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Keywords: Absenteeism; Linked Employer-Employee Data; Unobserved Heterogeneity; Count Data Models.;

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References

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  1. Ehrenberg, Ronald G, 1970. "Absenteeism and the Overtime Decision," American Economic Review, American Economic Association, American Economic Association, vol. 60(3), pages 352-57, June.
  2. Gourieroux, Christian & Monfort, Alain & Trognon, Alain, 1984. "Pseudo Maximum Likelihood Methods: Applications to Poisson Models," Econometrica, Econometric Society, Econometric Society, vol. 52(3), pages 701-20, May.
  3. Delgado, M.A. & Kniesner, T.J., 1994. "Count Data Models with Viriance of Unknown Form - An Application to a Hedonic Model of Worker Absenteeism," Papers, Indiana - Center for Econometric Model Research 94-011, Indiana - Center for Econometric Model Research.
  4. Nicholas Wilson & Michael J. Peel, 1991. "The impact on absenteeism and quits of profit-sharing and other forms of employee participation," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, ILR Review, Cornell University, ILR School, vol. 44(3), pages 454-468, April.
  5. Barmby, T A & Orme, C D & Treble, John G, 1991. "Worker Absenteeism: An Analysis Using Microdata," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 101(405), pages 214-29, March.
  6. Johansson, Per & Palme, Marten, 1996. "Do economic incentives affect work absence? Empirical evidence using Swedish micro data," Journal of Public Economics, Elsevier, Elsevier, vol. 59(2), pages 195-218, February.
  7. Kenyon, Peter & Dawkins, Peter, 1989. "A Time Series Analysis of Labour Absence in Australia," The Review of Economics and Statistics, MIT Press, MIT Press, vol. 71(2), pages 232-39, May.
  8. Henrekson, Magnus & Persson, Mats, 2001. "The Effects on Sick Leave of Changes in the Sickness Insurance System," Working Paper Series in Economics and Finance, Stockholm School of Economics 0444, Stockholm School of Economics, revised 08 Aug 2001.
  9. Johansson, Per & Palme, Mårten, 2001. "Assessing the effect of public policy on worker absenteeism," Working Paper Series, IFAU - Institute for Evaluation of Labour Market and Education Policy 2002:13, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  10. Hausman, Jerry & Hall, Bronwyn H & Griliches, Zvi, 1984. "Econometric Models for Count Data with an Application to the Patents-R&D Relationship," Econometrica, Econometric Society, Econometric Society, vol. 52(4), pages 909-38, July.
  11. Dionne, G. & Eeckhoudt, L., 1984. "Proportional Risk Aversion, Taxation and Labor Supply Under Uncertainty," Cahiers de recherche, Universite de Montreal, Departement de sciences economiques 8441, Universite de Montreal, Departement de sciences economiques.
  12. Barmby, Tim, 2002. "Worker absenteeism: a discrete hazard model with bivariate heterogeneity," Labour Economics, Elsevier, Elsevier, vol. 9(4), pages 469-476, September.
  13. Jessica P. Vistnes, 1997. "Gender differences in days lost from work due to illness," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, ILR Review, Cornell University, ILR School, vol. 50(2), pages 304-323, January.
  14. Dunn, L F & Youngblood, Stuart A, 1986. "Absenteeism as a Mechanism for Approaching an Optimal Labor Market Equilibrium: An Empirical Study," The Review of Economics and Statistics, MIT Press, MIT Press, vol. 68(4), pages 668-74, November.
  15. Robert Drago & Mark Wooden, 1992. "The determinants of labor absence: Economic factors and workgroup norms across countries," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, ILR Review, Cornell University, ILR School, vol. 45(4), pages 764-778, July.
  16. Blomquist, N. Soren, 1983. "The effect of income taxation on the labor supply of married men in Sweden," Journal of Public Economics, Elsevier, Elsevier, vol. 22(2), pages 169-197, November.
  17. Göran Kauermann & Renate Ortlieb, 2004. "Temporal pattern in number of staff on sick leave: the effect of downsizing," Journal of the Royal Statistical Society Series C, Royal Statistical Society, Royal Statistical Society, vol. 53(2), pages 355-367.
  18. Donna B. Gilleskie, 1998. "A Dynamic Stochastic Model of Medical Care Use and Work Absence," Econometrica, Econometric Society, Econometric Society, vol. 66(1), pages 1-46, January.
  19. Abowd, John M. & Kramarz, Francis, 1999. "The analysis of labor markets using matched employer-employee data," Handbook of Labor Economics, Elsevier, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 40, pages 2629-2710 Elsevier.
  20. Allen, Steven G, 1981. "An Empirical Model of Work Attendance," The Review of Economics and Statistics, MIT Press, MIT Press, vol. 63(1), pages 77-87, February.
  21. Steven G. Allen, 1983. "How Much Does Absenteeism Cost?," Journal of Human Resources, University of Wisconsin Press, University of Wisconsin Press, vol. 18(3), pages 379-393.
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