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Published online by Cambridge University Press: 05 August 2011
Buzzard and Shaw's study
The first study of the demand for absence was Buzzard and Shaw's (1952) analysis of ordnance factories in Britain. These researchers were in the fortunate position of being able to observe the introduction in 1948 of a sick pay scheme when none had existed previously – a situation rarely enjoyed by modern researchers, who have to rely on changes in schemes or the internal structure of schemes to identify behavioural effects. Buzzard and Shaw were able to obtain records of workers' absence behaviour for twelve months before and twenty-four months after the introduction of a sick pay scheme whereas previously there had been none, so that they were able to make a difference-in-differences interpretation of their results:
Under the scheme an employee who is absent from work because of illness receives his full flat rate of pay for as long as 13 weeks in any year. National Insurance benefit and any further allowances from other Government sources are deducted from this pay. All employees are entitled to receive sick pay once they have completed 26 weeks' Government service. If an employee has had five years' Government service, he is entitled to a further 13 weeks' absence on half pay. No one may receive more than one year's sick pay in any four years. […]
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