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Proof firm downsizing and diagnosis-specific disability pensioning in Norway
Bjørgulf Claussen1, Øyvind Næss, Leif Jostein Reime
1Institute of Health and Society, University of Oslo, P,O,Box 1130, Blindern, N0318, Norway. bjorgulf.claussen@medisin.uio.no.
BMC Public Health
|January 15, 2013
Summary
Moderate firm downsizing significantly increases disability pension rates, particularly for musculoskeletal and psychiatric conditions. This effect was observed in the four years following workforce reductions, impacting those who remained employed.
Area of Science:
- Occupational health
- Sociology of work
- Public health
Background:
- Investigating the link between firm downsizing and disability pensions.
- Focusing on musculoskeletal and psychiatric diagnoses.
- Examining effects on employees who leave and those who stay.
Purpose of the Study:
- To determine if firm downsizing increases disability pension rates.
- To identify specific diagnoses associated with increased risk.
- To compare outcomes for employees who leave versus those who stay after downsizing.
Main Methods:
- Utilized linked registry data from Statistics Norway (1992-2004).
- Sample: 30-55 year olds in 1995, employed and disability-pension-free at end 2000.
- Downsizing defined as % change in firm employment (1995-2000).
Main Results:
- A 30-59% downsizing increased disability pension rates by 25% in the subsequent four years.
- No significant effect observed for 1-29% or 60-100% downsizing.
- Employees who stayed after downsizing had higher disability pension rates than leavers; complex musculoskeletal and psychiatric diagnoses were most common.
Conclusions:
- Moderate firm downsizing (30-59%) leads to a significant rise in disability pension claims.
- This increase is often linked to complex musculoskeletal and psychiatric diagnoses.
- The findings highlight the health consequences of workforce restructuring.
