Study on Sickness Benefits in Major Welfare States: Switzerland, Israel and the Netherlands

Abstract

While the majority of OECD member states use social insurance to secure sickness benefits for sick workers, some states rule that employers directly pay the benefit to their sick employees: Switzerland, Israel and the Netherlands. This report analyzes the histories and current situations of the mandatory sick leave schemes in the three nations. As Korea is implementing the pilot scheme to introduce the sickness benefits, the relation between the government-implemented sickness benefits and the mandatory sick leave is one of pivotal issues. By studying the experiences, mistakes, system improvements and reforms of the three countries in the process of operating their mandatory sick leaves, we aim to find policy implications for Korea's future sickness benefits.