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The Safety Costs of Contingent Work: Evidence from Minnesota

  • YONG-SEUNG PARK
  • RICHARD J. BUTLER
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    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.

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    Article provided by Transaction Publishers in its journal Journal of Labor Research.

    Volume (Year): 22 (2001)
    Issue (Month): 4 (October)
    Pages: 832-849

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    Handle: RePEc:tra:jlabre:v:22:y:2001:i:4:p:832-849
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