Abstract

This empirical study contributes towards identifying the effect of social exclusion on labor market integration of people with disabilities in Romania. Certain categories of individuals with disabilities have longer unemployment duration than others and this empirical study is focused on identifying which variables have a significant influence on exit to job hazard on Romanian labor market. The significant gap between employees without disabilities and employees with disabilities in the Romanian labor market can be explain based on certain influential factors such as: Lower productivity levels, higher training costs, differentiated work schedules, special demands, higher risk of work injuries and work-related accidents, etc. The findings reveal the lack of statistical significance for the differences between median survival time and hazard rates of disabled individuals, a function of their disability. Moreover, our results show that only an age and unemployment allowance has had a significant effect on unemployment duration and exit to a job hazard of educated individuals with disabilities.

Highlights

  • Labor market insertion of individuals with disabilities is a great challenge, especially for developing economies

  • Inequalities in income, consumption and wealth, high poverty and low living standards are quite common in Romania and vulnerable groups are currently at risk of social exclusion due to insufficient, inadequate or even absent legislative framework

  • We want to analyze if the type of disability has had an effect on unemployment duration and exit to a job hazard, and which group is the most vulnerable on the labor market

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Summary

Introduction

Labor market insertion of individuals with disabilities is a great challenge, especially for developing economies. The greying of Europe is an irreversible process that is one of the major challenges for world’s political leaders considering that demographic factors have a major influence on labor force supply. Population ageing leads inevitably to workforce ageing so appropriate measures to adapt the economy, labor market and working conditions to these changes are needed [1]. The labor force market is contracting so the integration of people with disabilities can be a sustainable alternative. In analyzing social exclusion and labor market integration of people with disabilities we must take into account the fact that Romania is a former communist developing country in Eastern Europe. Labor market discrimination is a statistical certainty in Romania, especially for vulnerable groups which includes people with disabilities

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