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The Safety Costs of Contingent Work: Evidence from Minnesota

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  • YONG-SEUNG PARK
  • RICHARD J. BUTLER

Abstract

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.

Suggested Citation

  • Yong-Seung Park & Richard J. Butler, 2001. "The Safety Costs of Contingent Work: Evidence from Minnesota ," Journal of Labor Research, Transaction Publishers, vol. 22(4), pages 832-849, October.
  • Handle: RePEc:tra:jlabre:v:22:y:2001:i:4:p:832-849
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    Cited by:

    1. Avner Ben-Ner & Yong-Seung Park, "undated". "Duration of Non-Work Spells in the Workers' Compensation Insurance System: Unionized vs. Non-Unionized Workers," Working Papers 1202, Human Resources and Labor Studies, University of Minnesota (Twin Cities Campus).

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