5.6.4. Estimating impact of absenteeismΒΆ

Overall the full-time equivalent employment years due to absenteeism are used to determine annual, country-specific welfare payments.

For this, the following information is used:

  1. Information on percentage of compensated sick leave (\(PCSL\)).

  2. Information on percentage of salary paid given paid sick leave (\({PC}_{comp}\)) [Social Security Administration, 2016 [86]]

In absence PCcomp, weekly compensated sick leave paid [Social Security Administration, 2016 [86]].

In presence of PCSL and PCcomp data, the welfare cost, WC, is calculated as follows:

\[WC = {personyears}_{absent} \times PCSL \times {PC}_{comp} \times Wage\]

Where wages are specific for each country, year, and gender.

In the absence of PCcomp data, the welfare cost WC is calculated as follows:

\[WC = {personyears}_{absent} \times PCSL \times sickweeksalary \times 52\]

PCSL is assumed to equal 1, except for Austria (0.57), Denmark (0.93), and France (0.91).

For future year salary, \(sickweeksalary\) is not be adjusted for wage growth until 2050.