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The Impacts of Vocational Rehabilitation

Simen Markussen and Knut Røed

No 7892, IZA Discussion Papers from IZA Network @ LISER

Abstract: Based on local variations in vocational rehabilitation (VR) priorities, we examine the impacts of alternative VR programs on short- and long-term labor market outcomes for temporary disability insurance (TDI) claimants in Norway. The analysis builds on rich and detailed administrative registers covering 345,000 claimants. We find that a strategy focusing on rapid placement in the regular labor market is superior to alternative strategies giving higher priority to vocational training or sheltered employment. Strategies prioritizing subsidized regular education also tend to be relatively successful in terms of final outcomes, but at the cost of protracted periods of benefit dependency first.

Keywords: treatment effects; social insurance; vocational rehabilitation; program evaluation (search for similar items in EconPapers)
JEL-codes: C21 C26 H55 I38 J24 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2014-01
New Economics Papers: this item is included in nep-ias
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (34)

Published - published in: Labour Economics, 2014, 31, 1-13.

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