Invites you to an

AERE Reading Group seminar presented by

Timothy Richards

Arizona State University

Health Coverage and Farmworker Productivity

Tuesday 14 March 2023

11.00am – 12.00pm

Abstract: Farmworkers are often subject to hazardous working conditions, experience a disparity in health insurance coverage and are vulnerable to chronic health conditions and injury. Although recent health care mandates have improved access to health care, many agricultural employers still do not offer coverage for their employees. Hitherto unexplored, insurance coverage in farmworker labor markets leads to systemic inequalities, which have implications for worker productivity and operations strategy. We quantify the economic value of offering health coverage to farmworkers using a structural search, match, and bargaining model. We find that farmworkers with employer-provided health coverage are significantly more productive than those without and, on average, generate an additional $0.78 in economic surplus for each hour worked. Employers who offer health coverage retain an additional $0.60 of economic surplus for each hour of work performed by their employees due to a health productivity premium.

For further information contact: AERE RG seminar series coordinator Dr Alastair Fraser (alastair.fraser@sydney.edu.au)

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