Abstract:
This study examines the effects on occupational injury claims of a recently implemented post-accident drug testing (PADT) program in a large retail chain. We find that claims have fallen significantly in affected districts, suggesting that PADT programs can reduce injury claims, even in workplaces that already utilize other forms of drug testing. Our results also suggest that some types of employees--such as full-time workers, male workers, and higher-tenure workers--are particularly responsive. Finally, we find some "circumstantial evidence" that a portion of the observed decline could be caused by employees' reduced willingness to report workplace accidents. Copyright 2008, Oxford University Press.
American Law and Economics Review is edited by Hon. Richard A. Posner
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