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Wage subsidies to employers hiring people on disability benefits

Country of implementation
Switzerland
General short description of the innovation
The wage subsidy has been introduced in 2008 as part of the 5th revision of the federal law on disability insurance. / It is allocated to compensate for a reduced productivity of disabled people during the first months of employment. The subsidy is paid to employers for a maximum of 180 days (6 months). It can amount up to the total monthly wage but cannot exceed the level of disability allowances. /
Target group
Disabled
Policy Field
  • social
  • wage
Type of Policy
  • public
Duration of the policy
Introduced in 2008
Scope of innovation
  • Scope: structural
  • Budgets: unknown
  • Number of intended beneficiaries: unknown
  • Spatial coverage: national
General description of (intended) objectives and strategies
The objective was to allay the fears of employers willing to hire disabled people and facilitate a sustainable return into work of this group
Nature of the innovation-short-term perspective
strong
Type of innovation
  • new policy, practice or measure
New outputs
  • subsidies/tax-credits (wage subsidies for employers hiring disabled people with reduced productivity)
Intended target group
Jobless disabled people and employers
Working age population
  • main source of income: social protection
Employers-private institutional actors
employers willing to hire disabled people with a reduced productivity
Actors involved in policy-making/implementation and/or evaluation
  • agency or national social insurance body (Cantonal disability offices as the main implementation actor)
  • central state
  • employers (organised or individual)
Intended output
  • subsidies/tax-credits (wage subsidies for employers hiring disabled people with reduced productivity in the new job)
Did the innovation have any outcome related to job quantity?
very limited effect on the employment of disabled people given the limited use of wage subsidies
Intended and unintended outcomes
small proportion
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