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Cyclical Fluctuations in Workplace Accidents

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Author Info
van Ours, Jan C. () (Tilburg University, CentER and CEPR)
Boone, Jan (Tilburg University, CentER, Institute for Labour Studies (OSA), CEPR and IZA Bonn)

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Abstract

This paper presents a theory and an empirical investigation on cyclical fluctuations in workplace accidents. The theory is based on the idea that reporting an accident dents the reputation of a worker and raises the probability that he is fired. Therefore a country with a high or an increasing unemployment rate has a low (reported) workplace accident rate. The empirical investigation concerns workplace accidents in OECD countries. The analysis confirms that workplace accident rates are inversely related to both the level of unemployment and the change in unemployment. Furthermore, fatal accident rated do not fluctuate over the cycle. We conclude that our empirical analysis is in line with our theory: cyclical fluctuations in workplace accidents have to do with reporting behavior of workers and not with changes in workplace safety.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 627.

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Length: 38 pages
Date of creation: Nov 2002
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Handle: RePEc:iza:izadps:dp627

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Related research
Keywords: workplace accidents unemployment

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Find related papers by JEL classification:
I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare
J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy

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References listed on IDEAS
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.:
  1. Leigh, J. Paul, 1985. "The effects of unemployment and the business cycle on absenteeism," Journal of Economics and Business, Elsevier, vol. 37(2), pages 159-170, May. [Downloadable!] (restricted)
  2. Johansson, Per & Palme, Mårten, 2001. "Assessing the effect of public policy on worker absenteeism," Working Paper Series 2002:13, IFAU - Institute for Labour Market Policy Evaluation. [Downloadable!]
  3. Christopher J. Ruhm, 2000. "Are Recessions Good For Your Health?," The Quarterly Journal of Economics, MIT Press, vol. 115(2), pages 617-650, May. [Downloadable!] (restricted)
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  4. Maria Guadalupe, 2002. "The Hidden Costs of Fixed Term Contracts: the Impact On Work Accidents," CEP Discussion Papers 0551, Centre for Economic Performance, LSE. [Downloadable!]
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  5. Meyer, Bruce D & Viscusi, W Kip & Durbin, David L, 1995. "Workers' Compensation and Injury Duration: Evidence from a Natural Experiment," American Economic Review, American Economic Association, vol. 85(3), pages 322-40, June. [Downloadable!] (restricted)
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  6. Johansson, Per & Palme, Marten, 1996. "Do economic incentives affect work absence? Empirical evidence using Swedish micro data," Journal of Public Economics, Elsevier, vol. 59(2), pages 195-218, February. [Downloadable!] (restricted)
  7. Brown, Sarah & Sessions, John G, 1996. " The Economics of Absence: Theory and Evidence," Journal of Economic Surveys, Blackwell Publishing, vol. 10(1), pages 23-53, March.
  8. Askildsen, Jan Erik & Bratberg, Espen & Nilsen, Øivind Anti, 2002. "Unemployment, labour force composition and sickness absence. A panel data study," Working paper Series 0205, Department of Economics, University of Bergen. [Downloadable!]
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  9. Arai, Mahmood & Skogman Thoursie, Peter, 2001. "Incentives and Selection in Cyclical Absenteeism," Working Paper Series 167, Trade Union Institute for Economic Research. [Downloadable!]
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  10. Mortensen, Dale T. & Pissarides, Christopher A., 1999. "New developments in models of search in the labor market," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 39, pages 2567-2627 Elsevier. [Downloadable!] (restricted)
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  11. Thomas J. Kniesner & John D. Leeth, 1989. "Separating the reporting effects from the injury rate effects of workers' compensation insurance: A hedonic simulation," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 42(2), pages 280-293, January.
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(explanations, 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.)

  1. Jan Erik Askildsen & Espen Bratberg & Øivind Anti Nilsen, 2005. "Unemployment, labor force composition and sickness absence: a panel data study," Health Economics, John Wiley & Sons, Ltd., vol. 14(11), pages 1087-1101. [Downloadable!]
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