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The pecuniary and non-pecuniary costs of job displacement—The risky job of being back to work

  • Leombruni, Roberto
  • Razzolini, Tiziano
  • Serti, Francesco

This paper investigates the effect of displacement on workplace injury risk and earnings using Italian administrative data on work histories merged with data on individual job-related accidents. Compared to a control group of non-displaced workers selected with propensity score matching techniques, re-employed displaced workers are exposed to moderate earnings losses and experience approximately a 79% increase in workplace injuries. This sizeable reduction in the quality of non-pecuniary working conditions is driven by the transition to new occupations and the risk imposed by new work environments.

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Article provided by Elsevier in its journal European Economic Review.

Volume (Year): 61 (2013)
Issue (Month): C ()
Pages: 205-216

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Handle: RePEc:eee:eecrev:v:61:y:2013:i:c:p:205-216
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