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Measuring the Effects of Workloss on Productivity With Team Production

Author

Listed:
  • Sean Nicholson
  • Marc V. Pauly
  • Daniel Polsky
  • Claire Sharda
  • Helena Szrek
Abstract
Using data from a survey of 800 managers in 12 industries, we find empirical support for the hypothesis that the cost associated with missed work varies across jobs according to the ease with which a manager can find a perfect replacement for the absent worker, the extent to which the worker functions as part of a team, and the time sensitivity of the worker's output. We then estimate wage multipliers' for 35 different jobs, where the multiplier is defined as the cost to the firm of an absence as a proportion (often greater than one) of the absent worker's daily wage. The median multiplier is 1.28, which supports the view that the cost to the firm of missed work is often greater than the wage.

Suggested Citation

  • Sean Nicholson & Marc V. Pauly & Daniel Polsky & Claire Sharda & Helena Szrek, 2004. "Measuring the Effects of Workloss on Productivity With Team Production," NBER Working Papers 10632, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:10632
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    References listed on IDEAS

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    1. Mark V. Pauly & Sean Nicholson & Judy Xu & Dan Polsky & Patricia M. Danzon & James F. Murray & Marc L. Berger, 2002. "A general model of the impact of absenteeism on employers and employees," Health Economics, John Wiley & Sons, Ltd., vol. 11(3), pages 221-231, April.
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    More about this item

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General

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