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Why do some older workers with adverse health conditions remain in the labor force while others exit early?

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In our project, we focus on the labor force participation of older workers with adverse health conditions (i.e., chronic conditions, injuries, or illnesses, both in physical and mental terms). Evidence shows that a non-negligible share of workers experiences adverse health conditions at the end of their careers. While many older workers exit the labor force due these adverse health conditions, others remain in the labor force. This raises the question which factors affect the labor force participation of older workers with adverse health conditions. On the one hand, some older workers with adverse health conditions may be constraint to continue working involuntary, for instance to guarantee their level of living. On the other hand, some of them may continue to work voluntarily, for instance because they are able to adjust their activity level.

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