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Health Shocks, Social Insurance, and Firms

Author

Listed:
  • Attila Gyetvai
  • Anikó Bíró
  • István Boza
  • Dániel Prinz

Abstract

We study the role that firms play in social insurance benefit uptake after their workers experience health shocks. Social insurance in our setting, Hungary, is universal and comprehensive, thus allowing us to quantify the impact of firms on benefit uptake and labor market outcomes on top of the social safety net. Using matched employer-employee administrative data linked to individual-level health records, we find that firm responses to worker health shocks are heterogeneous: workers hit by a health shock at high-quality firms are less likely to take up disability insurance or exit the labor force than those at low-quality firms.

Suggested Citation

  • Attila Gyetvai & Anikó Bíró & István Boza & Dániel Prinz, 2024. "Health Shocks, Social Insurance, and Firms," Working Papers w202411, Banco de Portugal, Economics and Research Department.
    • Handle: RePEc:ptu:wpaper:w202411
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    File URL: https://www.bportugal.pt/sites/default/files/documents/2024-08/WP202411.pdf
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    More about this item

    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • I10 - Health, Education, and Welfare - - Health - - - General
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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