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IFAU - Institute for Evaluation of Labour Market and Education Policy Working Paper Series
IFAU - Institute for Evaluation of Labour Market and Education Policy

No 2012:2:
Does privatisation of vocational rehabilitation improve labour market opportunities? Evidence from a field experiment in Sweden

Lisa Jönsson () and Peter Skogman Thoursie ()

Abstract: This paper analyses if privatisation of vocational rehabilitation can improve labour market opportunities for individuals on long-term sickness absence. We use a field experiment performed by the Employment Service and the Social Insurance Agency in Sweden during 2008 to 2010, in which over 4,000 participants were randomly offered private and public rehabilitation. We find no differences in employment rates following rehabilitation between individuals who received rehabilitation by private and public providers. Also the average cost of rehabilitation was essentially equal for the two types of providers. This suggests that there are no large efficiency gains from privatising vocational rehabilitation.

Keywords: Vocational rehabilitation; Privatisation; Field experiment; (follow links to similar papers)

JEL-Codes: J14; J68; L33; (follow links to similar papers)

31 pages, January 25, 2012

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This paper is published as:
Laun, Lisa and Peter Skogman Thoursie, (2014), 'Does privatisation of vocational rehabilitation improve labour market opportunities? Evidence from a field experiment in Sweden', Journal of Health Economics, Vol. 34, March, pages 59-72



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