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3

1 Introduction

Sickness and disability benefits expenditures are substantial in many

countries. In 2007, the average OECD country spent 1.9 percent of GDP on

sickness and disability benefits, or about 10 percent of public social

spending (OECD, 2010). This was almost three times as much as the

average cost for unemployment. Two of the most common causes of work

absence due to illness, what we denote as sick leave, are mental and

chronic pain diseases. About 20 percent of the population in an average

OECD country suffers from mental illness at any point in time and up to 50

percent experiences mental illness at some point during their life (OECD,

2012). Similarly, about 19 percent of adult Europeans suffer from chronic

pain of moderate to severe intensity (Breivik et al, 2006). These diseases

severely affect the quality of social and working lives of individuals. The

costs to society are also large, not only covering the direct costs to the

health care system but also indirect costs such as decreased productivity

and public benefit payments. Tackling mental health problems and chronic

pain is a key challenge for modern society.

An important question is what types of treatment can be effective not only

in improving health but also in facilitating employment for individuals with

mental illness or chronic pain. For labor market outcomes in particular, the

evidence remains scarce. There are studies suggesting that psychological

treatments, in particular cognitive behavioral therapy (CBT), lead to

symptom improvements for anxiety and depression (see, e.g., the review

by The Swedish Council on Health Technology Assessment (SBU, 2004)). In

a survey of studies on interventions to improve occupational health in

depressed people, however, Nieuwenhuijsen et al. (2008) conclude that

that there is no evidence that medication alone or enhanced primary care

reduces work disability in depressed workers, and that there is no evidence

for or against the effectiveness of psychological interventions in terms of

work disability.

The Swedish Council on Health Technology Assessment (SBU, 2006 and

2010) and Scascighini et al (2008) survey the literature on methods for

treatment of chronic pain. Existing evidence suggests that multidisciplinary

treatment, including a combination of psychological interventions and

physical training, facilitates return to work, decreases sick leave and

improves self-assessed health. However, the most recent survey (SBU,

2010) does not provide support for multidisciplinary treatment decreasing

pain intensity, activity capacity or other symptoms compared to less

intensive measures or no measures at all. SBU (2006 and 2010) also

conclude that behavioral medical treatment leads to better activity capacity

than physical measures without behavioral components, and that

acupuncture leads to no difference in pain intensity compared to control

methods with other types of stimulation.