The Socioeconomic and Gender Impacts of Health Events on Employment Transitions in France: A Panel Data Study

This article explores the effect of accidents and chronic illnesses on participation in the French labor market while accounting for socioeconomic and gender effects. We use a dynamic definition of the control group and difference-in-differences exact matching estimators, which control for unobserved heterogeneity. We find that accidents have a slightly smaller effect than do chronic illnesses on employment but generate more inequalities across workers. Women and less educated workers are the most disadvantaged, and almost all transitions go from employment to inactivity. We interpret these results in relation to the incentives provided by the French social welfare system.