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Do Financial Bonuses to Employees Reduce their Absenteeism? Outcome of a Lottery Author info | Abstract | Publisher info | Download info | Related research | Statistics Wolter Hassink ()
Pierre Koning ()
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This paper investigates the effectiveness of a monthly lottery in reducing sick leave among workers in a manufacturing firm. Conditions of participation are not having reported sick in the previous three months and not having won the lottery earlier. It turns out that the lottery results in a decrease in the rate of sick leave of 1.6 percentage point. From the perspective of the firm, the lottery is found to be highly beneficial that is, the benefits associated with the decrease in the sick leave rate exceed the costs of the lottery. Workers seem to be primarily driven by the first upcoming lottery. After winning the lottery, winners resume their previous (rate of) absence.
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Paper provided by Utrecht School of Economics in its series Working Papers with number
05-27.
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Length: 34 pages
Date of creation: Jun 2005Date of revision:
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Keywords: absenteeism ; sick leave ; incentives ; lottery ; Other versions of this item:
Find related papers by JEL classification: J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Private Pensions M52 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects
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Henrekson, Magnus & Persson, Mats, 2001.
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references Cited by : (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.)
Pouliakas, Konstantinos & Theodoropoulos, Nikolaos, 2009.
"Variety of Performance Pay and Firm Performance: Effect of Financial Incentives on Worker Absence and Productivity ,"
MPRA Paper
18238, University Library of Munich, Germany.
[Downloadable!]
De Paola, Maria, 2008.
"Absenteeism and Peer Interaction Effects: Evidence from an Italian Public Institute ,"
MPRA Paper
11425, University Library of Munich, Germany.
[Downloadable!]
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