Assessing the influence of sickness benefits on worker absenteeism: An empirical analysis based on panel data

Abstract

The influence of economic variables on the probability of being absent was analyzed using longitudinal data on work absence behaviour for each day during 2006 and 2009. Panel data contain everyday information about work attendance of each employee working in the company in South Bohemia, the final sample has 43 800 observations. During the observed period, there were a number of reforms of the sickness insurance in the Czech Republic performed and such reforms affected primarily the replacement level of earnings and influenced the period guaranteeing sickness benefits for an employee. The method used by Johansson and Palme (2002) has been followed. As them, I as well distinguish between the dynamic dependence varying in the fact whether the worker is in the work presence state or in the work absence state. Empirical results show that the worker's costs arising from being absent have a significant effect on work absence behaviour

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