Who is on sick leave in Finland? Differences between population groups and regions

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Who is on sick leave in Finland? Differences between population groups and regions Jenni Blomgren, Head of research team, Kela EUMASS seminar, Kela, Helsinki, 8 June 2017

Contents of the presentation 1. Sickness absence in Finland: an overview 2. Sickness allowance for long sickness absence spells 3. Trends in receipt of sickness allowance by sex, age and diagnostic cause 4. Differences between socio-economic groups 5. Differences between regions 2

1. Sickness absence in Finland: an overview

The Finnish system of sickness absence Sickness absence days 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20+ Short absence Shortish absence Long absence * 1 3 days * self-certified * 4 11 days * physician's certificate usually required * not entitled to sickness allowance * full salary paid at least during the waiting time of sickness allowance * 12 days or more * physician's certificate required * entitled to sickness allowance * full salary normally paid for absences lasting <1-3 months (depends on the contract) 4

Focus on long sickness absence spells The trends shown in the presentation are on long sickness absence spells = those compensated by sickness allowance = at least 12 calendar days long absences Only absences compensated by sickness allowance (paid by Kela) are tractable in Finnish national registers Comprehensive register-based data on shorter absences are not available (data only from surveys or from employer-specific studies) 5

Prevalence of sickness absence in Finland % 0 20 40 60 80 100 Sickness absent during 2013, women Sickness absent during 2013, men 63 60 Received sickness allowance in 2016, women Received sickness allowance in 2016, men 7 10 Proportion of sickness and injury absence of theoretical working time in 2014* 4 * Of those working in the fields of industry, construction and services. 6 Sources: Statistics Finland, Labour force survey; statistics of the Social Insurance Institution of Finland; Confederation of Finnish Industries

Comparison of Nordic countries Proportion of sickness and injury absence of theoretical working time (%) Sweden Finland Denmark Norway Sources: Nordic confederations of industries 7

2. Sickness allowance for long sickness absence spells

Sickness allowance: who can receive? All non-retired persons aged 16 67 with incapacity to work (to perform their current duties) may be entitled A doctor s certificate is required Not restricted to those in employment Employed, self-employed Unemployed Students Others outside labour force Waiting period Normally 1+9 working days (Mon Sat, excluding midweek holidays) 55 calendar days for those with no previous income 9

Sickness allowance: how much? Paid for 6 days a week = working days Earnings-related Formula per daily allowance: (70% or previous income / 300) up to yearly income of 30 350 + 20% of income exceeding 30 350 Example: for a person with a yearly gross income of 50 000 euros (4000 /month), gross SA is 84 /day ~~ 2000 /month Minimum level for those with no previous income 23,73 /working day ~ 570 /month in 2017 Average paid allowance per working day in 2016: 56 /day ~1340 /month Payment Paid to the employer if the employer pays salary If no employer / no salary, allowance is paid directly to the sick-listed 10

Distribution of new sickness allowance spells in 2015 by diagnosis Other diseases 13% Circulatory 4% Neoplasms 4% Musculoskeletal 31% Nervous 4% Digestive 5% Respiratory 6% Injuries 15% Mental 18% 11 Source: Kela statistics.

3. Trends in receipt of sickness allowance by sex, age and diagnostic cause

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Proportion of recipients of sickness allowance, non-retired population 1996 2016 % 14 12 10 8 Women Men 6 4 2 0 13 Source: Blomgren 2016; own calculations based on statistics of Kela and Statistics Finland.

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Proportion of recipients of sickness allowance, non-retired population 1996 2016 % 18 16 14 12 10 8 6 4 2 0 Age: 16 64 50 64 35 49 16 34 14 Source: Blomgren 2016; own calculations based on statistics of Kela and Statistics Finland.

Proportion of recipients of sickness allowance, non-retired population 1996 2016 % 4 Musculoskeletal 3 Mental Injuries 2 1 Respiratory Digestive Nervous 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Neoplasms Circulatory 15 Source: Blomgren 2016; own calculations based on statistics of Kela and Statistics Finland.

4. Differences between socioeconomic groups

Incidence and length of sickness allowance by occupational class What is the proportion of new sickness allowance recipients in different occupational classes? How long are the sickness allowance spells in different occupational classes? Cumulative number of days, measured from the start of the waiting period (=onset of disease) to the ending day of sickness allowance 17

A study combining registers of Kela and Statistics Finland A 70% random sample of the non-retired Finnish population aged 25 62 at the end of 2012 (1.6 million persons) Inclusion of also those without employment Measurement of new SA spells initiating in 2013 18 Occupational class distribution: Women Men Upper white-collar 20 % 19 % Lower white-collar 43 % 19 % Manual workers 14 % 31 % Self-employed and entrepreneurs 7 % 13 % Unemployed 9 % 12 % Other 7 % 7 % All 100 % 100 % N 792 575 822 760

Persons with new SA spells during 2013 (% of population) 16 14 12 Women Men 10 % 8 6 4 2 0 19

7 6 5 Persons with new SA spells due to musculoskeletal diseases during 2013 (% of population) Women Men % 4 3 2 1 0 20

3 Persons with new SA spells due to mental and behavioural disorders during 2013 (% of population) Women 2 Men % 1 0 21

SA days on average Cumulative length of SA spells starting in 2013, calendar days 180 160 140 120 100 80 60 40 20 0 Women Men 22

SA days on average Cumulative length of SA spells starting in 2013, calendar days Musculoskeletal diseases Mental disorders 210 180 150 Women Men 210 180 150 120 120 90 90 60 30 0 60 30 0 23

5. Differences between regions

25 Finland and its municipalities

Differences between Finnish municipalities Data: A 50% random sample of non-retired population aged 25 62 at the end of 2009, who did not receive sickness allowance during 2009 (N = 1 068 736) 332 municipalities + municipality-level factors Measures: receipt of sickness allowance during 2010-2011 the cumulative number of SA days during 2010 2011 26

% persons who had received SA during 2010 11 Mean number of days among those who had received SA during 2010 11 27 Average: 16% Average: 50 days

Municipality-level factors that are related Higher probability of long sickness absence in municipalities with high unemployment rate high % of the manufacturing and construction sector high general morbidity small population rural areas 28

Summary and conclusion A decreasing trend of long sickness absence in Finland since 2007, mainly due to decrease in sickness absence due to musculoskeletal diseases Receipt of sickness allowance strongly related to age, sex, occupational class and region To decrease incidence of sickness absence: Focus on manual workers and lower non-manuals (especially women) To shorten the spells: Focus on the unemployed, other non-employed, and entrepreneurs / self-employed 29

Thank you! jenni.blomgren@kela.fi Twitter: @JenniBlomgren