Wage Subsidies for the Disabled: A Discussion of their Impact in Australia

Abstract

Governments in a number of countries have introduced policies to increase the labour force participation of persons with disabilities. Many of these policies have displayed a legislative or compulsory element as in the case of workforce quotas. In 1981 the Australian Government introduced a price strategy in which employers were induced to increase their job offers to the disabled through a system of wage subsidy and workplace modification schemes. The performance of these schemes became an interesting test of the general policy of using market variables to influence what many regard as essentially a social problem. The results achieved in this article indicate that the wage subsidy programme has not been effective nor, given current employer attitudes, is it likely to be in the future.

Citation

Mangan, J. (1990), "Wage Subsidies for the Disabled: A Discussion of their Impact in Australia", International Journal of Manpower, Vol. 11 No. 1, pp. 20-25. https://doi.org/10.1108/01437729010003076