The incidence and severe consequences of occupational injuries among informal workers in a developing country

Abstract

This article uses novel microdata to estimate the prevalence of occupational injuries among informal workers in a developing country with a segmented labour market like Argentina, and analyses their socio-economic consequences, exploring the heterogeneity according to the formality status of the worker. The results indicate that the prevalence of injuries is roughly similar between informal and formal workers. However, the socio-economic consequences are substantially more severe for informal workers and their families. These consequences include: a reduction in consumption of basic goods and services; and the need for household members – including school-age children and older people – to search for work to compensate for the income drop resulting from the injured worker.