A natural experiment on sick pay cuts,sickness absence,and labor costs

This study estimates the reform effects of a reduction in statutory sick pay levels on sickness absence behavior and labor costs. German federal law reduced the legal obligation of German employers to provide 100% continued wage pay for up to six weeks per sickness episode. In 1996 statutory sick pay was decreased to 80% of foregone gross wages. Within the reform's target group – private sector employees – this measure increased the proportion of employees having zero days of absence between 6 and 8%. Quantile regression estimates indicate that employees with up to 5.5 annual absence days reduced their days of absence by about 12%. Extended analyses suggest that in industries that enforced the cut, behavioral effects were about twice as large. We show that the direct labor cost savings effect stemming from the cut in replacement levels clearly exceeds the indirect effect due to the decrease in absenteeism. Our calculations about the total decrease in labor costs are very much in line with official data which suggest that total employer-provided sick pay decreased by 6.7% or €1.7 billion per year.     

男性青少年犯大五人格特征分析

采用大五人格问卷（BFI）和自编调查问卷对217名狱中男性青少年犯和263名在校中学生进行问卷调查。研究男性青少年犯大五人格特征及其影响因素,为有效预防青少年犯罪提供理论依据。调查发现青少年犯与正常同龄男生在宜人性、责任心、神经质和开放性等四个维度上有显著差异;宜人性与开放性在区分青少年犯与正常同龄男生有一定的鉴别力：家庭关系、父母是否离异、农村或城市户口、有无恋爱经历、上网频率、小时候父母是否在家、入监前生活状态等因素影响青少年宜人性人格因子的形成;家庭关系、上网频率等因素影响青少年开放性人格因子形成。本研究表明宜人性与开放性对青少年犯罪有一定预测力;家庭诸多因素对青少年犯罪人格特征有影响作用。     

Personality and the gender wage gap

In this study, we investigate whether personality traits contribute towards a better understanding of the reasons for the gender wage gap. We explore whether two of the personality factors put forward by Bowles et al. (2001) as likely to be incentive enhancing in the employer–employee relationship can explain the difference in wages for women and men. These are (1) personal self efficacy (Locus of Control (LoC)) and (2) time preference. We also study the role of the so called Big Five personality traits (extraversion, emotional stability, agreeableness, openness intellect and conscientiousness), which have been associated with earnings in several recent studies. Using a sample of Dutch employees, we found that 11.5% of the observed gender wage gap could be ascribed to differences in the personality trait scores (mainly in agreeableness and intellect), while less than 0.5% could be ascribed to gender differences in the returns to the traits. The addition of personality traits to a traditional human capital model reduces the unexplained part of the gender wage gap from 75.2% to 62.7%. We therefore conclude that these traits represent a valuable addition to the model.     

The role of cognitive ability and personality traits for men and women in gift exchange outcomes

We examine the role of cognitive ability and personality traits in a gift exchange experiment. Controlling for cognitive ability and personality characteristics, men offer higher wages than women, and men and women with greater cognitive ability and greater agreeableness on the Big Five personality scale offer higher wages as well. Men provide greater effort than women do, and respond to higher wage rates with greater increases in effort. For both genders, one standard deviation increases in agreeableness and in wages generate similar increases in effort. Serious biases arise from omitting cognitive ability and pooling men and women.     

Heterogeneous returns to personality: the role of occupational choice

We analyze the role of personality in occupational choice and wages using data from Germany for the years 1992 to 2009. Characterizing personality by use of seven complementary measures (Big Five personality traits, locus of control, and a measure of reciprocity), the empirical findings show that personal characteristics are important determinants of occupational choice. Associated with that, identical personality traits are differently rewarded across occupations. Hence, breaking down the analysis on the level of occupational groups provides more detailed results of returns to personality. By evaluating different personality profiles, we additionally estimate the influence of personality as a whole. The estimates establish occupation-specific patterns of significant returns to particular personality profiles. These findings underline the importance to consider the occupational distribution when analyzing returns to personality due to its heterogeneous valuation.     

When worlds collide: elder caregiving poses new challenges for balancing work and life

Nearly one in four U.S. households (an estimated 22.4 million) are caring for elderly family members or friends; as the nation's population ages, more and more workers will take on elder caregiving responsibilities. As this trend continues, employers will face increasing concerns about lost productivity and many employees will struggle to balance the demands of work and caregiving responsibilities. To help resolve the situation, many employers may look to a comprehensive work/life program, which incorporates an intensive focus on elder-care issues, to help boost morale, improve employee productivity and job performance, and reduce stress and absenteeism associated with caregiving.     

DOES THE RIGHT TO CHOOSE MATTER FOR DEFINED CONTRIBUTION PLANS?

We find that sensitivity of fund flows and fund performance are both related to participants' right to choose their investments in defined contribution plans. Under the Mandatory Provident Fund system of Hong Kong, both employers and employees are required to contribute to a retirement account. Originally, employees' investment choices were restricted to a subset of funds chosen by their employers. The system was later modified so that employees are allowed to invest in any fund within the system. We present evidence that flows of fund have become more sensitive to past fund performance after this policy change, and that average fund performance in the system has also improved. Based on the improvement in fund performance, we estimate the accumulated cost of the lack of choice to be around 10% of the current total asset value of the system. (JEL G14, G18)     

An integrated approach to managing absence supports greater organizational productivity

Both absenteeism and "presentee-ism" significantly erode productivity and impact the bottom line. The author discusses what drives absence, why companies are looking at total absence management, and how employers can implement integrated programs to reduce the impact of absence and associated productivity losses on their businesses.     

Personality and cooperation in finitely repeated prisoner’s dilemma games

We investigate the role personality plays in Finitely Repeated Prisoner’s Dilemma (FRPD) games. Even after controlling for demographic factors such as race, course of study, and cognitive ability, we find that cooperative behavior is significantly related to the Big Five personality trait Agreeableness. A one standard deviation increase in agreeableness increases the predicted probability of cooperation by a subject with modal demographic characteristics from 67.9% to 80.6%.     

IS EMPLOYMENT DISCRIMINATION BASED ON TOBACCO USE EFFICIENT?

Numerous employers in over 20 U.S. states currently discriminate legally against smokers in their hiring policies. We analyze the cost of being a smoker, measured in annual hospital days, and compare this with the cost of being a former smoker, the cost of being obese, and the cost of a variety of other medical conditions, relative to the cost of being a never smoker, using three large recent surveys each having in excess of one hundred thousand observations. The paper also explores the cost of former smokers as determined by the number of years since quitting. Smokers as a whole are not found to be the most costly employees. Furthermore, health costs vary dramatically among smokers of different duration and intensity. As a consequence, our results question the efficiency of such discrimination. (JEL I10, I18, J71, J7)     

Explaining personality pay gaps in the UK

Using the British Household Panel Survey we estimate the effect on pay of each of the Big Five personality traits for employed men living in the UK. We add to the existing literature by estimating the role of factors such as education and occupation in explaining personality pay gaps, by allowing the personality traits to affect wage differently across occupations, education levels and other workers characteristics, and by investigating personality pay gaps for high- and low-paid workers. We find that openness to experience is the most relevant personality trait in explaining wages, followed by neuroticism, agreeableness, extroversion and conscientiousness. Openness and extroversion are rewarded while agreeableness and neuroticism are penalized, but the openness pay gap is totally explained by differences in worker characteristics, particularly education and occupation.     

ESTIMATING THE INCIDENCES OF THE RECENT PENSION REFORM IN CHINA: EVIDENCE FROM 100,000 MANUFACTURERS

An ongoing reform in China mandates employers to contribute significant amounts to employee pension funds. The current study estimates the impact of this reform on the wage, employment, and performance of firms using data from over 140,000 medium and large manufacturers in China during 2004 and 2006. We find that the nominal wages of employees were rigid, but their real wages may have declined due to the pension reform. In addition, we find an interesting dichotomy in the incidences of pension reform. In localities with high agglomeration levels, firms' profits declined because the pension burden could not be fully transferred to employees. In less agglomerated jurisdictions, firms responded positively to pension reform, possibly because local governments over‐subsidized the pension costs as a way to attract investment. (JEL H32, H55, J26)     

Impact of neutropenic complications on short-term disability in patients with cancer receiving chemotherapy

Abstract

Objectives: The study examined the impact of chemotherapy-induced neutropenic complications (CINC), defined as neutropenia with fever or infection, on short-term disability (STD) among cancer patients receiving chemotherapy.

Methods: The key outcome metrics were average monthly STD days and associated indirect costs. Patients with and without CINC were propensity score (PS) matched. Multivariate regressions were conducted on PS-matched cohorts to estimate the marginal impact of CINC.

Results: A total of 280 patients with CINC were PS-matched to 280 patients without CINC. Compared with matched patients, patients with CINC on average experienced 0.9 more STD day (3.2 vs. 2.3, p=0.046) and $155 more in indirect costs ($549 vs. 394, p=0.050) per month. After multivariate adjustment, patients with CINC experienced 1.0 more STD day (p=0.029), and incurred $200 more in indirect cost (p=0.016) per month.

Conclusions: Patients with CINC experience significantly greater STD leave than patients with no neutropenic complications from cancer chemotherapy. The overall study sample only included patients from large self-insured employers in the US and may not reflect the work loss experience of all employed patients in the US or other countries. Indirect costs associated with absenteeism and presenteeism were not measured.     

A cross-cultural study of guanxi and auditor independence in two economies: evidence from China and the United States

This study examines the impact of guanxi on auditor independence in China and the U.S. Using panel data from 2012–2015 surveys, fixed-effects regression models are used to analyse survey data with observations drawn from a total of 1076 Big 4 and 1044 non-Big 4 auditor-years for Chinese auditors, and 1168 Big 4 and 1140 non-Big 4 auditor-years for the U.S. auditors. The results indicate that ‘guanxi with clients’ has a negative influence on perceptions of auditor independence for Chinese auditors, but not for the U.S. auditors. According to our findings, both groups agree that imposing regulations/code has a positive influence on perceptions of auditor independence. Gender has no influence on the perceived independence of either group. After controlling for social desirability bias, our results remain robust. Sensitivity analysis further increases the robustness of the findings. Our results provide empirical support for public interest theory and pose implications for Western multinational companies contemplating doing business in the Chinese economy. This investigation is particularly relevant in the wake of the rise of China as a global power. Regulators should consider the implications of this study when setting auditing guidelines and codes of ethics.     

The impact of pain on labor force participation,absenteeism and presenteeism in the European Union

Abstract

Objectives:

The aims of this paper are to generate estimates of the association between the experience and burden of pain, by severity and frequency, with (1) labor force participation and workforce status in five EU countries (the UK, France, Spain, Germany and Italy) and (2) patterns of absenteeism and presenteeism for the employed workforce.

Methods:

Data are from the internet-based 2008 National Health and Wellness Survey (NHWS). This survey covers both those who report experiencing pain in the last month as well as the no pain population. A series of regression models are developed with the no pain group as the reference category. The impact of pain, categorized by severity and frequency reported, is assessed within a labor supply framework for (1) labor force participation and (2) absenteeism and presenteeism. In the former case both binomial and multinomial logistic models are estimated; in the latter case ordered logit models are estimated.

Results:

The results demonstrate that, in the context of health status, the experience of frequent severe and moderate pain has a dominant, independent and negative association with labor force participation and employment status as well as absenteeism and presenteeism. The presence of severe daily pain is associated with a 20-point reduction in the probability of being employed full-time; with moderate daily pain associated with a 10-point reduction. The impact of pain is far greater than the potential impact of other health status measures (e.g., chronic comorbidities and BMI). The experience of pain, notably severe and frequent pain, also outstrips the impact of other health status factors in absenteeism and presenteeism.

Conclusions:

The experience of pain, in particular severe daily pain, has a substantial negative association with labor force participation in these five European countries as well as reported absenteeism and presenteeism. As a measure of health status, it clearly outweighs other health status measures. Whether or not pain is considered as a disease in its own right, the experience of chronic pain, as defined here, presents policy makers with a major challenge. Programs to relieve the burden of pain in the community clearly have the potential for substantial benefits from societal, individual and employer perspectives.     

Does affirmative action reduce gender discrimination and enhance efficiency? New experimental evidence

We investigate experimentally the impact of quota policies on gender discrimination in hiring decisions by testing whether affirmative action increases female employment. We also ask whether firm performance is affected by such policies. Our experiment consists of three treatments. In the baseline (no quota) treatment, groups of two employers and six potential job candidates are formed. Employers have to hire two workers based on information on candidate characteristics including gender and years and subject of study. The second, low penalty, treatment is identical to the baseline except there is a quota such that at least half of the employees hired must be women. If this quota is not respected, the firm has to pay a penalty. The last, high penalty, treatment is the same as the low penalty treatment except that the penalty is significantly higher. We find that women are ranked unfavorably in the absence of a quota, and the introduction of a quota significantly reduces gender discrimination. Firm performance is not affected by the introduction of quotas.     

The association of pain with labor force participation,absenteeism, and presenteeism in Spain

Abstract

Objectives:

The aims of this paper are to generate estimates of the association between the severity and frequency of pain in Spain and (i) labor force participation and workforce status and (ii) patterns of absenteeism and presenteeism for the employed workforce.

Methods:

Data are from the internet-based 2010 National Health and Wellness Survey (NHWS). This survey covers both those who report experiencing pain in the last month as well as the no-pain population. An estimated 17.25% of adults in Spain report experiencing pain in the past month. A series of regression models are developed with the no-pain group as the reference category. The impact of pain, categorized by severity and frequency, is assessed within a labor supply framework for (i) labor force participation and (ii) absenteeism and presenteeism. Both binomial and multinomial logistic models are estimated.

Results:

The results demonstrate that severe and moderate pain has a significant, substantive, and negative association with labor force participation and, together with the experience of mild pain, a substantive impact on absenteeism and presenteeism within the employed workforce. Compared to no-pain controls, the strongest association is seen in the case of severe pain, notably severe daily pain and labor force participation (odds ratio 0.363; 95% CI: 0.206–0.637). The association of severe pain with labor force participation is also significant (odds ratio 0.356; 95% CI: 0.217–0.585). There is a clear gradient in the association of pain severity and frequency with labor force participation. The impact of pain is far greater than the potential impact of other health status measures (e.g., chronic comorbidities and BMI). Labor force participation is also adversely associated with pain experience. Persons reporting severe daily pain are far more likely not to be in the labor force (relative probabilities 0.339 vs 0.611). The experience of pain, notably severe and frequent pain, also outstrips the impact of other health status factors in absenteeism and presenteeism. In the former case, the odds ratio associated with severe daily pain is 16.216 (95% CI: 5.127–51.283), which contrasts to the odds ratio for the Charlson comorbidity index of 1.460 (95%CI: 1.279–1.666). Similar results hold for presenteeism. The contribution of moderate and mild pain to absenteeism and presenteeism is more marked than for labor force participation.

Conclusions:

The experience of pain, in particular severe daily pain, has a substantial negative impact both on labor force participation in Spain as well as reported absenteeism and presenteeism. As a measure of health status, it clearly has an impact that outstrips other health status measures. Whether or not pain is considered as a disease in its own right, the experience of chronic pain, as defined here, presents policy-makers with a major challenge. Programs to relieve the burden of pain in the community clearly have the potential for substantial benefits from societal, individual, and employer perspectives.     

The impact of rheumatoid arthritis on the burden of disease in urban China

Abstract

Objectives:

The aim of this study is to assess the burden of disease associated with the impact of rheumatoid arthritis in urban China. Burden of disease is considered from four perspectives: (i) health-related quality-of-life (HRQoL); (ii) health status; (iii) employment status; and (iv) absenteeism and presenteeism.

Methods:

Data are from the 2009 National Health and Wellness Survey (NHWS) of urban China. This is an internet-based survey and details the health experience of 13,007 respondents. The survey is representative of the urban China population at 18 years of age and over (18.1% of the total population). Of those responding to the survey, a total of 353 reported that they had been diagnosed with rheumatoid arthritis – an unweighted estimate of 2.65%. The sample design allows a comparison of those reporting rheumatoid arthritis with those not reporting this disease and, hence, a quantitative assessment of the burden of disease. Estimates of the quantitative impact of the presence of rheumatoid arthritis are through a series of generalized linear regression models. HRQoL is evaluated through the SF-12 instrument together with responses to the first item of the SF-12, self-reported health status. The SF-12 instrument generates three measures of HRQoL: the physical component summary (PCS), the mental component summary (MCS) and SF-6D utilities. Health status is captured as a self-report on a 5-point scale. Employment status is considered in terms of self-reported labor force participation, while absenteeism and presenteeism are estimated from the Work Productivity Activity Index (WPAI). Apart from a binary variable capturing the presence or absence of rheumatoid arthritis, control variables were included to capture the impact of other potential determinants of HRQoL and health status.

Results:

The presence of rheumatoid arthritis in urban China has a significant deficit impact on HRQoL as measured by the PCS and MCS components of the SF-12, SF-6D absolute utilities and on self-assessed health status. In the case of PCS, the deficit impact of rheumatoid arthritis is ?2.289 (95%CI: ?3.042 to ?1.536); for MCS ?1.472 (95%CI: ?2.338 to ?0.605) and for utilities ?0.025 (95% CI: ?0.036 to ?0.014). In the case of health status the odds ratio for the presence of rheumatoid arthritis is 1.275 (95%CI 1.031–1.576). The presence of rheumatoid arthritis has a marked negative effect, just under 8%, on the likelihood of workforce participation. Finally, the presence of rheumatoid arthritis is associated with an increased likelihood of absenteeism and presenteeism.

Limitations:

The NHWS survey has a number of limitations. As the NHWS is an internet-based survey, biases may be present due to the lack of internet penetration in the urban China population. The extent to which individuals and households have internet access is unknown. In addition, the NHWS relies upon respondents reporting they have been diagnosed with one or more specific disease states. These are not, given the nature of the survey, clinically verified. This also introduces a degree of uncertainty. Care should be taken in uncritically generalizing these results to the wider China population.

Conclusions:

The burden of disease associated with self-reported, diagnosed rheumatoid arthritis in urban China is substantial. Utilizing a series of multivariate models, substantial deficits are associated not only in reported HRQoL and health status but also in respect of employment status and, for those in employment, rates of absenteeism and presenteeism.     

Family employees and absenteeism

Work effort varies greatly across employees, as evidenced by substantial differences in absence rates. Moreover, absenteeism causes sizeable output losses. Using data from the European Community Household Panel (ECHP), this paper investigates absence behaviour of family employees, i.e. workers who are employed in enterprises owned by a relative. Our estimates indicate that being a family employee instead of a regular employee in the private sector significantly reduces both the probability and duration of absence to a substantial degree.     

The Process of Education of OSH Services and Organization Development

Contemporary business is characterised, first and foremost, by quickly growing competition, rapid changes in customer preferences, and constant pressure for innovations and cost effectiveness. That creates a difficult work environment, with occupational safety and health (OSH) management becoming a strategic element in the planning of enterprises?? development (compare: Znajmiecka-Sikora et al. 2009, 2010). The article aims to analyse the knowledge, qualifications, and professional competence of OSH service employees??a group that is crucial for maintaining an appropriate safety level in the organisation??in the context of employers?? expectations. The study covered 450 OSH service employees working in selected provinces of Poland and was carried out from 2009 to 2010. It used an interview questionnaire composed of 64 items concerning the knowledge, skills, activity in the training market, and flexibility of OSH service employees. The analysis of received results indicates that although OSH service employees hold appropriate qualifications (confirmed by certificates of having undergone appropriate training), they often have insufficient knowledge and skills in the scope of duties imposed on them, hence they are not able to meet the expectations of their employers.