This paper explores the interrelation between health and work decisions of older workers. For this, two issues are of relevance. Firstly, health and work may be endogenously related because of direct causal effects of health on work and vice versa, and because of unobservables that may affect...

Sickness absenteeism figures show a relatively large amount of variation across firms and organizations, indicating substantial within-firm correlations between absenteeism records of individual workers. To study the role of firm-specific circumstances and workforce composition, we specify...