Checkpoints for Sickness Allowance Periods: Implementation of Rehabilitation and Return to Work

Published 1.3.2022Edited 6.3.2024

Prolonged sickness allowance periods should be prevented, as long sickness absences forecast a subsequent transition to disability pension. Well-timed rehabilitation can help prevent prolonged periods of incapacity for work.

This research project generates data on rehabilitation participation and labour market paths among individuals on sickness allowance periods of varying lengths. By using comprehensive register data, the project produces information on the extent to which individuals on sickness allowance periods of various lengths have participated in rehabilitation organised by different operators. In addition, the project provides information on the individuals’ labour market and benefit paths after sickness allowance periods and the effects of rehabilitation on post-sickness-allowance labour market position.

The first subproject studies how individuals are referred to rehabilitation during sickness allowance periods as well as the transitions after allowance periods of various lengths in recent years. The second substudy studies the possible differences in rehabilitation participation and labour market transitions before and after the 2012 amendments to law concerning the monitoring of accumulated sickness allowance days. The results of this research project benefit the development of the sickness allowance and rehabilitation systems and the monitoring of the effects of sickness allowance checkpoints. Furthermore, the results advance the understanding of the process behind incapacity for work.

Researchers

Jenni Blomgren, Leading Researcher
Riku Perhoniemi
Hanna Rinne
Mikko Laaksonen

Project Implementation Period

1.3.2022–30.9.2023 The project has ended.

Cooperation Partners

Project Results

Checkpoints have been introduced to the sickness allowance scheme for monitoring rehabilitation needs and to facilitate measures aimed at enabling a return to work. The study provided new data on participation in rehabilitation, returning to work and other labour market conditions of individuals who had received sickness allowance for 60, 90, 150 or 230 days and on how well the 30-60-90 rule functions. The rule, which was implemented in 2012, introduced new checkpoints to the sickness allowance scheme.

Individuals who had received sickness allowance for a long time had relatively low participation rates in rehabilitation reimbursed by Kela or authorised pension providers. The percentage of rehabilitation participants was clearly higher when public-sector rehabilitation and various types of physiotherapy were also counted as rehabilitation. The more accumulated sickness allowance days, the less likely it was for the recipient to return to paid employment and the more likely it was for them to transition to disability pension. Labour market trajectories following sickness allowance periods were fragmented for most of the recipients. Following the 2012 legislative amendments, the percentage of rehabilitation participants increased among those who had received sickness allowance for 30, 60 or 90 days, but there was no effect on the return to paid employment.

Efforts should be made to prevent the occurrence of prolonged sickness allowance periods in order to support remaining capacity for work and the transition to paid employment. Methods to achieve this include improved referral to rehabilitation and other services, the development of work capacity services for persons with an unemployment background, increased coordination between different actors, and the improvement of data mobility and the knowledge base.