Integrated Employment: The Return on Investment, Cost-Effectiveness, and Fiscal Impact on Workers with Disabilities Robert Evert Cimera, Ph.D. Kent State University
Disclaimer I am by no means suggesting that money is the bottom line for any policy decisions.
Disclaimer I am by no means suggesting that money is the bottom line for any policy decisions. However… “Economics is the language of politicians and policymakers….”
Question #1: “Should People Go Into Supported Employment?”
Benefits: Wages Earned in the Community Costs: Forgone Wages from a Workshop Taxes Paid Lost Governmental Subsidies
Question #1: “Should People Go Into Supported Employment?” Individuals with Intellectual Disabilities (n=64,692) Benefit-Cost Ratio = 4.20 Source: Cimera (2010b)
Question #1: “Should People Go Into Supported Employment?” Individuals with Intellectual Disabilities (n=64,692) Benefit-Cost Ratio = 4.20 Individuals with Autism Spectrum Disorder (n=19,436) Benefit-Cost Ratio = 5.28 Source: Cimera & Burgess (2011)
Question #1: “Should People Go Into Supported Employment?” Supported Employment was cost-efficient from the worker’s perspective All disabilities, Secondary conditions, and All States. Source: Cimera (in press)
Question #1: “Should People Go Into Supported Employment?” Yes….
Question #2: “Which is More Cost- Effective: SE or SW?”
Supported v. Sheltered Employment Cumulative Costs SE: $18,813 SW: $46,855 Source: Cimera (2011b)
Supported v. Sheltered Employment Cumulative Costs SE: $18,813 SW: $46,855 Cost per Hr. Worked SE: $11.88 SW: $17.12 Source: Cimera (2011b)
Supported v. Sheltered Employment Cumulative Costs SE: $18,813 SW: $46,855 Cost per Hr. Worked SE: $11.88 SW: $17.12 Cost per Dollar Earned SE: $2.02 SW: $9.39 Source: Cimera (2011b)
Percent of Total Program Costs Source: Cimera (2008)
Percent of Total Program Costs Source: Cimera (2008)
Question #2: “Which is More Cost- Effective: SE or SW?” It appears, SE is more cost-effective. Source: Cimera (in press)
Question #3: “Is SE a Good Investment for Taxpayers?”
Benefits (per month): $ Alternative Program Savings………$ Taxes Paid…………………………..$ Reduction in Subsidies…………….($ 6.83) Costs (per month): $ Cost of SE Services………………..$ Tax Credits to Employers………….$ ,204 Supported Employees ( ) Source: Cimera (2010a)
Question #3: “Is SE a Good Investment for Taxpayers?” Benefit-Cost Ratio = 1.46 Mental Illnesses = 1.68 Physical Disabilities = 1.66 Autism Spectrum Disorder = 1.62 Sensory Impairments = 1.35 Intellectual Disabilities = 1.20 Traumatic Brain Injuries = 1.17 Source: Cimera (2009)
Question #3: “Is SE a Good Investment for Taxpayers?” Yes…regardless of disability or number of disabilities (but not in all States). Source: Cimera (2009)
Question #4: “How Do We Make SE More Effective and Efficient?”
The Utilization of “Natural Supports” SE with “Natural Supports” Average Cost = $5,063 Employment Cycle = 6.04 fiscal quarters Cost per Quarter = $838 SE Statewide Average Cost = $8,212 Employment Cycle = 3.36 fiscal quarters Cost per Quarter = $2,444 Source: Cimera (2007)
The Utilization of “Natural Supports” SE with “Natural Supports” Reduced costs by 57.6% (from 2001 to 2005) Nearly an 80% increase in length of employment. Source: Cimera (2007)
Community-Based Transition Services In-School Cost of Services = $1,551 Months Employed = 4.70 Community-Based Cost of Services = $1,020 Months Employed = 8.10 Source: Cimera (2010c)
Sheltered Workshops Prior to SE No Sheltered Workshop Wkly Earnings: $ Cost (sample): $4,543* Cost (employed): $5,399* Yes Sheltered Workshop Wkly Earnings: $ Cost (sample): $7,895 Cost (employed): $8,659 9,808 Individuals with Intellectual Impairments Source: Cimera (2011a)
Thank You! Robert Evert Cimera, Ph.D. Kent State University, USA
References Cimera, R.E. (2007). Utilizing natural supports to reduce the costs of supported employment. Research and Practice for Persons with Severe Disabilities, 32(3), 1-6. Cimera, R.E. (2008). The cost-trends of supported versus sheltered employment. Journal of Vocational Rehabilitation, 28, Cimera, R.E. (2009). Supported employment’s cost-efficiency to taxpayers: 2002 to Research and Practice for Persons with Severe Disabilities, 34, Cimera, R.E. (2010a). The national cost-efficiency of supported employees with intellectual disabilities: 2002 to American Journal on Intellectual and Developmental Disabilities, 115, Cimera, R.E. (2010b). The national cost-efficiency of supported employees with intellectual disabilities: The worker’s perspective. Journal of Vocational Rehabilitation, 33, Cimera, R.E. (2010c). Can community-based high school transition programs improve the cost-efficiency of supported employment? Career Development for Exceptional Individuals, 33(1) Cimera, R.E. (2011a). Does being in sheltered workshops improve the employment outcomes of supported employees with intellectual disabilities? Journal of Vocational Rehabilitation, 35, Cimera, R. E. (2011b). Supported versus sheltered employment: Cumulative costs, hours worked, and wages earned. Journal of Vocational Rehabilitation, 35, Cimera, R.E. (in press). The Economics of Supported Employment: What New Data Tell Us. Journal of Vocational Rehabilitation. Cimera, R.E. & Burgess, S. (2011). Do adults with autism benefit monetarily from working in their communities? Journal of Vocational Rehabilitation, 34,