A New Empirical Model of the Determinants of Sickness and the Choice Between Presenteeism and Absence

Abstract

This article revisits the association between employment characteristics, working conditions, and the annual duration of sickness presenteeism or absence using a French representative survey. Our novel estimation method controls for endogenous participation, as working conditions can affect employees' likelihood of illness separately from the decision to stay at home or work ill. We use a copula approach to model the link between illness and the duration of presenteeism and absence. Without correcting for endogenous participation, our estimates would be biased, and the determinants of sickness absence or presenteeism incorrectly identified. This work helps to highlight firm policy instruments that protect health and affect the choice between sickness presenteeism and absence.