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Why does the private sector react like the public to law 133? A microeconometric analysis of sickness absence in Italy

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  • Alessandra Del Boca
  • Maria Laura Parisi

Abstract

The problem of absenteeism has taken the centre of the stage of public attention when Renato Brunetta, the Public Employment Secretary, launched a reform of the public sector which started with a law on absenteeism. After the law was passed, the first evidence collected showed an average drop of 47% in sickness absence. This result was received with scepticism, but now we have enough evidence and research to draw some firm conclusions. This paper plans to investigate the effects of the Law 133/2008 and the shocks occurred after the changes in the law itself. We will study how employees characteristics in the private and public sector are related to absentee behaviour. The relationship between individual characteristics, such as wage, gender, age, tenure, education and the labor-leisure decision made by workers will be estimated in a micro-data model. The data come from a panel of individuals working in a large private company, operating all over Italy in the security sector, and one public sector institution,(AE) the tax collection Agency. The results indicate a remarkable direct and indirect reaction to the law in the public and also private sectors.

Suggested Citation

  • Alessandra Del Boca & Maria Laura Parisi, 2010. "Why does the private sector react like the public to law 133? A microeconometric analysis of sickness absence in Italy," Working Papers 1008, University of Brescia, Department of Economics.
  • Handle: RePEc:ubs:wpaper:1008
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    References listed on IDEAS

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    1. Ichino, Andrea & Riphahn, Regina T., 2001. "The Effect of Employment Protection on Worker Effort: A Comparison of Absenteeism During and After Probation," IZA Discussion Papers 385, Institute for the Study of Labor (IZA).
    2. Richard Blundell & Monica Costa Dias, 2009. "Alternative Approaches to Evaluation in Empirical Microeconomics," Journal of Human Resources, University of Wisconsin Press, vol. 44(3).
    3. Tim A. Barmby & Marco G. Ercolani & John G. Treble, 2002. "Sickness Absence: An International Comparison," Economic Journal, Royal Economic Society, vol. 112(480), pages 315-331, June.
    4. Lusine Lusinyan & Leo Bonato, 2007. "Work Absence in Europe," IMF Staff Papers, Palgrave Macmillan, vol. 54(3), pages 475-538, July.
    5. Magnus Henrekson & Mats Persson, 2004. "The Effects on Sick Leave of Changes in the Sickness Insurance System," Journal of Labor Economics, University of Chicago Press, vol. 22(1), pages 87-114, January.
    6. De Paola, Maria, 2010. "Absenteeism and peer interaction effects: Evidence from an Italian Public Institute," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 39(3), pages 420-428, June.
    7. Barmby, Tim & Orme, Chris & Treble, John, 1995. "Worker absence histories: a panel data study," Labour Economics, Elsevier, vol. 2(1), pages 53-65, March.
    8. Maria De Paola & Valeria Pupo & Vincenzo Scoppa, 2009. "Absenteeism In The Italian Public Sector: The Effects Of Changes In Sick Leave Compensation," Working Papers 200916, Università della Calabria, Dipartimento di Economia, Statistica e Finanza "Giovanni Anania" - DESF.
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    Cited by:

    1. D'Amuri, Francesco, 2011. "Monitoring and monetary incentives in addressing absenteeism: evidence from a sequence of policy changes," ISER Working Paper Series 2011-10, Institute for Social and Economic Research.

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