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<p>This paper delivers the first evaluation of the 2005 French Disability Act, which was introduced to promote the employment of disabled people. The Act relies primarily on a legal employment quota for disabled people, with levies imposed in cases of non-compliance. We apply panel data methods equivalent to double and triple difference methods to the French Santé et Itinéraire Professionnel (SIP) survey (Survey on Health and Labour Market Histories). First, we estimate the effect of disability on the employment rate, finding a strong negative effect which is most pronounced among men and the oldest workers. However, since some observable characteristics of disabled workers, such as age, gender and education, vary over time, we extend our model to isolate the causal effect of the reform on the employment rate of disabled workers by taking into account the pre-reform (1991–2004) and post-reform (2005–2009) periods. Our findings suggest that the 2005 Act has met its initial objective, positively impacting the employment rate of disabled individuals, particularly in the private sector. The reform appears to have compensated for approximately half of the effect of disabilities on the employment rate. We also find that the reform's effect has been stronger for workers with secondary education.</p>

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Did the 2005 French Disabled workers Act increase the employment rate of people with disabilities? An econometric evaluation on panel data

  • 期刊论文

  • 出版模式：

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  • 发表日期：

    2026年5月20日

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  • Thomas Barnay,
  • Emmanuel Duguet,
  • Yann Videau

摘要

This paper delivers the first evaluation of the 2005 French Disability Act, which was introduced to promote the employment of disabled people. The Act relies primarily on a legal employment quota for disabled people, with levies imposed in cases of non-compliance. We apply panel data methods equivalent to double and triple difference methods to the French Santé et Itinéraire Professionnel (SIP) survey (Survey on Health and Labour Market Histories). First, we estimate the effect of disability on the employment rate, finding a strong negative effect which is most pronounced among men and the oldest workers. However, since some observable characteristics of disabled workers, such as age, gender and education, vary over time, we extend our model to isolate the causal effect of the reform on the employment rate of disabled workers by taking into account the pre-reform (1991–2004) and post-reform (2005–2009) periods. Our findings suggest that the 2005 Act has met its initial objective, positively impacting the employment rate of disabled individuals, particularly in the private sector. The reform appears to have compensated for approximately half of the effect of disabilities on the employment rate. We also find that the reform's effect has been stronger for workers with secondary education.