The Safety Costs of Contingent Work: Evidence from Minnesota
We find that workers' compensation costs for leased/staff agency workers are about three times higher than for regular full-time workers. This differential grows even wider when controlling for worker characteristics. Authors give a number of reasons for this result, including claims-reporting moral hazard on the part of contingent workers. We also present results on claim denials by work status, which seems to support the cost model.
Volume (Year): 22 (2001)
Issue (Month): 4 (October)
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