Friday, November 7, 2014
Ballroom B (Convention Center)
*Names in bold indicate Presenter
Occupational injuries and illnesses have fallen dramatically over the past couple of decades. Researchers have identified a number of changes in the economy, in policy, and in safety and health practices which have contributed to this decline, but the cause behind much of the decline remains an open question. This paper looks at the impact of employer dynamics on injury rates. Using data from the Survey of Occupational Injuries and Illnesses combined with information on the universe of establishments from the Quarterly Census of Employment and Wages, this paper examines the impact of establishment entry and exit on occupational injury rates. Results show that net entry of establishments contributed to the decline in injury rates in the 2003 through 2012 time period, with newer establishments having lower injury rates than continuing establishments although this effect is mitigated by the lower injury rates of exiting establishments. In addition, for continuing firms we observe that injury and illness rates decline as an establishment ages, but both high levels of job creation and job destruction lead to increases in injury and illness rates. In addition to explaining part of the decline in occupational injuries, the paper also sheds light on the impact of changing employer dynamics. Over the time period from 2003-2012, the muted growth patterns of establishments, with establishments being less likely to have either positive or negative growth rates, also contributed to the decline. There are a number of policy implications for these results. Younger firms and more turbulent establishments have higher injury and illness rates and are therefore more likely to benefit from increased safety education. The results also suggest changes in the composition of establishments in the US economy may be driving some of the decline in injuries and illnesses allaying concerns of increased underreporting by establishments.
