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Disability and Social Security Reforms: The French Case

In: Social Security Programs and Retirement around the World: Historical Trends in Mortality and Health, Employment, and Disability Insurance Participation and Reforms

Author

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  • Luc Behaghel
  • Didier Blanchet
  • Thierry Debrand
  • Muriel Roger

Abstract

The French pattern of early transitions out of employment is basically explained by the low age at "normal" retirement and by the importance of transitions through unemployment insurance and early-retirement schemes before access to normal retirement. These routes have exempted French workers from massively relying on disability motives for early exits, contrarily to the situation that prevails in some other countries where normal ages are high, unemployment benefits low and early-retirement schemes almost non-existent. Yet the role of disability remains interesting to examine in the French case, at least for prospective reasons in a context of decreasing generosity of other programs. The study of the past reforms of the pension system underlines that disability routes have often acted as a substitute to other retirement routes. Changes in the claiming of invalidity benefits seem to match changes in pension schemes or controls more than changes in such health indicators as the mortality rates. However, our results suggest that increases in average health levels over the past two decades have come along with increased disparities. In that context, less generous pensions may induce an increase in the claiming of invalidity benefits partly because of substitution effects, but also because the share of people with poor health increases.
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Suggested Citation

  • Luc Behaghel & Didier Blanchet & Thierry Debrand & Muriel Roger, 2012. "Disability and Social Security Reforms: The French Case," NBER Chapters,in: Social Security Programs and Retirement around the World: Historical Trends in Mortality and Health, Employment, and Disability Insurance Participatio, pages 301-326 National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberch:12389
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    References listed on IDEAS

    as
    1. Melika Ben Salem & Didier Blanchet & Antoine Bozio & Muriel Roger, 2010. "Labor Force Participation by the Elderly and Employment of the Young: The Case of France," NBER Chapters,in: Social Security Programs and Retirement around the World: The Relationship to Youth Employment, pages 119-146 National Bureau of Economic Research, Inc.
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    Cited by:

    1. Kadija Charni, 2016. "The French Pension Reforms and their Impact on Unemployed Older Workers," AMSE Working Papers 1602, Aix-Marseille School of Economics, Marseille, France, revised Jan 2016.
    2. Emmanuel Duguet & Christine Le Clainche, 2014. "The Effect of Non-Work Related Health Events on Career Outcomes: An Evaluation in the French Labor Market," Revue d'économie politique, Dalloz, vol. 124(3), pages 437-465.
    3. Luc Behaghel & Didier Blanchet & Muriel Roger, 2014. "Retirement, Early Retirement, and Disability: Explaining Labor Force Participation after Fifty-Five in France," NBER Chapters,in: Social Security Programs and Retirement Around the World: Disability Insurance Programs and Retirement, pages 251-284 National Bureau of Economic Research, Inc.
    4. Emmanuel Duguet & Christine Le Clainche, 2016. "Une évaluation de l’impact de l’aménagement des conditions de travail sur la reprise du travail après un cancer," Revue économique, Presses de Sciences-Po, vol. 67(1), pages 49-80.
    5. Emmanuel Duguet & Christine Le Clainche, 2012. "The impact of health events on individual labor market histories : the message from difference in differences with exact matching," Working Papers halshs-00674560, HAL.
    6. Emmanuel Duguet & Christine Le Clainche, 2014. "Chronic Illnesses and Injuries: An Evaluation of their Impact on Occupation and Revenues / Maladies chroniques et accidents : une évaluation de leur impact sur le parcours professionnel et les revenus," Working Papers halshs-00966970, HAL.
    7. Baguelin, Olivier & Remillon, Delphine, 2014. "Unemployment insurance and management of the older workforce in a dual labor market: Evidence from France," Labour Economics, Elsevier, vol. 30(C), pages 245-264.
    8. Catherine Pollak, 2012. "Employed and Happy despite Weak Health? Labour Market Participation and Job Quality of Older Workers with Disabilities," Working Papers DT45, IRDES institut for research and information in health economics, revised Mar 2012.
    9. Luiz Andrade & Catherine Sermet & Sylvain Pichetti, 2016. "Entry time effects and follow-on drug competition," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 17(1), pages 45-60, January.
    10. Rob Euwals & Annemiek van Vuren & Daniël van Vuuren, 2011. "The impact of reforms on labour market exit probabilities," CPB Discussion Paper 179, CPB Netherlands Bureau for Economic Policy Analysis.
    11. Euwals, Rob & van Vuren, Annemiek & van Vuuren, Daniel, 2011. "The Decline of Early Retirement Pathways in the Netherlands: An Empirical Analysis for the Health Care Sector," IZA Discussion Papers 5810, Institute for the Study of Labor (IZA).
    12. Simon Rabaté & Julie Rochut, 2017. "Employment and Substitution Effects of Raising the Statutory Eligibility Age in France," Working Papers halshs-01622346, HAL.
    13. Emmanuel Duguet & Christine Le Clainche, 2014. "The Impact of Health Events on Individual Labor Market Histories: the Message from Difference in Differences with Exact Matching / L'impact des événements de santé sur la carrière professionnelle : un," Working Papers halshs-00966963, HAL.
    14. Mohamed Ali Ben Halima & Thierry Debrand & Camille Regaert, 2012. "Sick Leaves: Understanding Disparities Between French Departments," Working Papers DT50, IRDES institut for research and information in health economics, revised Oct 2012.
    15. Catherine Pollak & Nicolas Sirven, 2012. "Active Ageing Beyond the Labour Market: Evidence on Work Environment Motivations," Working Papers DT48, IRDES institut for research and information in health economics, revised May 2012.
    16. Emmanuel Duguet & Christine le Clainche, 2012. "Chronic Illnesses and Injuries: An Evaluation of their Impact on Occupation and Revenues," Working Papers 12-02, LAMETA, Universtiy of Montpellier, revised Jan 2012.
    17. Luc Behaghel & Didier Blanchet & Muriel Roger, 2014. "Retirement, Early Retirement, and Disability: Explaining Labor Force Participation after Fifty-Five in France," NBER Chapters,in: Social Security Programs and Retirement Around the World: Disability Insurance Programs and Retirement, pages 251-284 National Bureau of Economic Research, Inc.

    More about this item

    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • H63 - Public Economics - - National Budget, Deficit, and Debt - - - Debt; Debt Management; Sovereign Debt
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

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