Continuous job lock: employer health insurance contributions and job tenure

James Bailey and Michael Mathes

Applied Economics Letters, 2022, vol. 29, issue 18, 1746-1751

Abstract: We estimate the effect of employers providing health insurance and contributing towards health insurance premiums on employee job tenure. Using merged 2008–2018 data from the Job Tenure Supplement and Annual and Social Economic Supplement of the Current Population Survey, we find that employer health insurance is associated with one additional year of job tenure. We find that a thousand dollar increase in employer contributions to health insurance is associated with at least 83 additional days of job tenure, compared to less than 10 additional days for a thousand dollar increase in wages.

Date: 2022
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DOI: 10.1080/13504851.2021.1961118

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