The Differential Earnings and Income Effects of Involuntary Job Loss on Workers with Disabilities — Evidence from Sweden

21 Pages Posted: 5 May 2016  

Nikolay Angelov

Uppsala University

Marcus Eliason

IFAU - Institute for Labour Market Policy Evaluation

Date Written: June 2016

Abstract

People with disabilities are consistently found to face considerable difficulties in the labour market. In this study we investigated whether their earnings and income trajectories are more adversely affected in case of involuntary job loss. Earnings of those with and without disabilities began to diverge already several years prior to job loss because of larger incidence of sickness. Following job loss much more job losers with disabilities became disability retirees resulting in a considerable and seemingly permanent earnings differential. However, larger uptake of public social insurances among job losers with disabilities resulted in a much smaller income differential.

JEL Classification: J14, J63, J64

Suggested Citation

Angelov, Nikolay and Eliason, Marcus, The Differential Earnings and Income Effects of Involuntary Job Loss on Workers with Disabilities — Evidence from Sweden (June 2016). LABOUR, Vol. 30, Issue 2, pp. 213-233, 2016. Available at SSRN: https://ssrn.com/abstract=2775473 or http://dx.doi.org/10.1111/labr.12062

Nikolay Angelov

Uppsala University ( email )

Uppsala
Sweden

Marcus Eliason (Contact Author)

IFAU - Institute for Labour Market Policy Evaluation ( email )

Box 513
751 20 Uppsala
Sweden

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