The Affordable Care Act and the Growth of Involuntary Part-Time Employment

45 Pages Posted: 22 Sep 2015

See all articles by William E. Even

William E. Even

Miami University; IZA Institute of Labor Economics

David A. MacPherson

Trinity University; IZA Institute of Labor Economics

Multiple version iconThere are 2 versions of this paper

Abstract

This study tests whether the employer mandate under the Affordable Care Act (ACA) increased involuntary part-time (IPT) employment. Using data from the Current Population Survey between 1994 and 2014, we find that IPT employment in 2014 was higher than predicted based on economic conditions and the composition of jobs and workers in the labor market. More importantly, using difference-in-difference methods, we find that the increase in the probability of IPT employment since 2010 was greatest in the industries and occupations where workers were most likely to be affected by the mandate. We also show that there has been virtually no change in the probability of IPT employment where the number of workers affected by the mandate was small. We estimate that approximately 1 million additional workers between the ages of 19 and 64 are in IPT employment as a result of the ACA employer mandate.

Keywords: Affordable Care Act, involuntary part-time employment, employer mandate, health insurance

JEL Classification: J22, J23, J32, J33, H25

Suggested Citation

Even, William E. and MacPherson, David A., The Affordable Care Act and the Growth of Involuntary Part-Time Employment. IZA Discussion Paper No. 9324. Available at SSRN: https://ssrn.com/abstract=2663755

William E. Even (Contact Author)

Miami University ( email )

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IZA Institute of Labor Economics

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David A. MacPherson

Trinity University ( email )

San Antonio, TX 78212
United States
210-999-8112 (Phone)
210-999-7255 (Fax)

HOME PAGE: http://www.davemacpherson.com

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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