ALTERNATIVE WORK ARRANGEMENTS AMONG PEOPLE WITH DISABILITIES Douglas Kruse and Lisa Schur Rutgers University Presentation to Disability Research Institute symposium, Washington, D.C., March 2004

Alternative work arrangements include: Contingent work: Temporary agency employment Other temporary jobs Independent contracting Part-time employment Flexible arrangements Telecommuting/home-based work Flexible schedules

Main Data Sources on Alternative Work Arrangements 1) Current Population Survey: March Supplements, Contingent Work Supplements, Feb. 1995, 1997, 1999, 2001 Work Schedules Supplements, May 1991 and ) Survey of Income and Program Participation: Disability Topical Modules, All analyses are limited to working-age (18-64)

Individuals with disabilities may find these work arrangements especially attractive due to: 1. lower demands on time and energy; 2. more flexibility to deal with health problems, therapy schedules, etc.; 3. lower or no transportation costs (especially for home-based work); 4. the opportunity to test skills and interests in different work environments; 5. the opportunity to work while staying under disability income earnings thresholds. CAUSES of alternative work arrangements for people with disabilities

In addition, employers may find these work arrangements attractive for assessing worker skills and potential for standard jobs among people with disabilities (particularly when there is uncertainty over the limiting effects of disabilities). Employer discrimination, however, may limit access to permanent full-time jobs among people with disabilities, channeling those who want to work into contingent or part-time jobs

Which of these causes are the most important? The various advantages to people with disabilities appear to be the dominant factor. Health problems and doctor visits help explain the use of non-standard jobs. Also, non-standard work arrangements increased among people with disabilities in the tighter labor markets of the late 1990’s, indicating these types of jobs are preferred by many people with disabilities as labor market opportunities expand. Employer discrimination is not a major factor in explaining the high rate of non-standard jobs, as shown both by reports of discrimination and filings of lawsuits. Disability income earnings thresholds are also not a major factor: non- recipients are also very likely to have non-standard jobs, and very few employed recipients increased their earnings when the SSDI threshold was raised.

CONSEQUENCES of alternative work arrangements for people with disabilities Compared to workers without disabilities, workers with disabilities are: Paid less in part-time and temporary jobs (about 25% less per week, and 5-17% less per hour) Less likely to have employer-provided pensions or health insurance More likely to live in poverty (no matter the type of job) More likely to stay in part-time jobs, but about as likely to move from temporary agency jobs to to standard full- time jobs

Key findings Non-standard work arrangements: 1.Account for almost half of the jobs of people with disabilities 2.Appear to be driven mainly by health concerns, and not by employer discrimination or disability income earnings thresholds 3.Provide lower pay and benefits to workers with disabilities than to non-disabled workers, leaving many in poverty 4.Provide important opportunities for many people with disabilities, enabling many to work who otherwise would not be employed