Social insurance reform and absenteeism in Vietnam
Corresponding Author
Kieu-Dung Nguyen
Institute of Theoretical and Applied Research, Duy Tan University, Hanoi, Vietnam
Kieu-Dung Nguyen, Institute of Theoretical and Applied Research, Duy Tan University, No. 1, Phung Chi Kien, Trang An Complex Building, CauGiay, Hanoi, 100000 Vietnam
E-mail: nguyenkieudung@duytan.edu.vn
Search for more papers by this authorVan-AnhThi Tran
Faculty of Finance and Banking, University of Economics and Business, Vietnam National University, Hanoi, Vietnam
Search for more papers by this authorDuc-Thanh Nguyen
Vietnam Institute for Economic and Policy Research, University of Economics and Business, Vietnam National University, Hanoi, Vietnam
Search for more papers by this authorCorresponding Author
Kieu-Dung Nguyen
Institute of Theoretical and Applied Research, Duy Tan University, Hanoi, Vietnam
Kieu-Dung Nguyen, Institute of Theoretical and Applied Research, Duy Tan University, No. 1, Phung Chi Kien, Trang An Complex Building, CauGiay, Hanoi, 100000 Vietnam
E-mail: nguyenkieudung@duytan.edu.vn
Search for more papers by this authorVan-AnhThi Tran
Faculty of Finance and Banking, University of Economics and Business, Vietnam National University, Hanoi, Vietnam
Search for more papers by this authorDuc-Thanh Nguyen
Vietnam Institute for Economic and Policy Research, University of Economics and Business, Vietnam National University, Hanoi, Vietnam
Search for more papers by this authorAbstract
There has been very little research into sickness absence in Vietnam. This article reveals how the labor market might adjust to more generous illness benefits offered by the Vietnam Social Insurance Law. In the study, we combined the difference-in-differences and matching techniques and used data from four waves of the Vietnam Labor Force Survey. The results indicate that the generosity of the benefits positively links to both the incidence and the duration of sick leave. The article also sheds light on the mechanism underlying the relationship by disaggregating the effects on gender, income, and job tenure groups. The results support current government efforts to enhance the public social insurance system.
Key Practitioner Message: • Sickness insurance affects sick leave incidence and duration; • Low-income workers and female workers are sensitive to sickness benefits reform; • There is a link between job tenure and sick leave.
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