Interpreting wage gaps of disabled men: the roles of productivity and discrimination

Publication type

ISER Working Paper Series

Series Number

2010-19

Series

ISER Working Paper Series

Authors

Publication date

June 17, 2010

Abstract:

Using the UK Labour Force Survey, we study wage gaps for disabled men after the introduction of the Disability Discrimination Act. We estimate wage gaps at the mean and at different quantiles of the wage distribution, and decompose them into the part explained by differences in workers' and job characteristics, the part that can be ascribed to health-related reduced productivity, and a residual part which we can more confidently interpret as discrimination. For physically disabled workers, most of the wage gap can be attributed to differences in productivity, while for mentally disabled people we find evidence of wage discrimination.

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