Cost-benefit analysis for sheltered employment service programs for people with disabilities in Taiwan − a preliminary study

Abstract

Purpose: The aim of this study is to do a cost-benefit analysis with monetary and non-monetary benefits for sheltered employment service programs and try to provide more evidence-based information for policy makers and practitioners to understand the outcomes of sheltered employment services. Method: This study analyzed 3 sheltered employment service programs for people with disabilities (2006–2007) implemented by Sunshine Social Welfare Foundation in Taiwan using cost-benefit analysis (including non-monetary benefits). Three groups were analyzed, including participants in the programs, taxpayers, and society (participants and taxpayers). Results: This study found that the net social monetary benefit was $NT29,432.07 per participant per year and the benefit cost ratio was 1.43. (In 2006–2007, $US1 = $NT32.5 averagely around.) The net monetary benefit for the participants was between $NT7,890.86 and $NT91,890.86 per participant per year. On the non-monetary benefit side, the physical health (raised 7.49%), social relationship (raised 3.36%) domains, and general quality of life (raised 2.53%) improved. However, the psychological (decreased 1.51%) and working/environment (decreased 3.85%) domains backslided. In addition, the differences between pre-test and post-test average scores of all domains were not statistically significant. Conclusions: This study is the first to use monetary and non-monetary cost-benefit analysis methods to analyze sheltered employment service programs for people with disabilities in Taiwan. The findings indicated that sheltered employment service programs for people with disabilities could be efficient and beneficial for the whole society and sheltered employees/clients, and also helpful for raising their quality of lives.

Implications for Rehabilitation

• The sheltered employment service programs for people with disabilities can be efficient and beneficial for society as well as for sheltered employees/clients, and can be also helpful in raising their life quality.

• People with different categories of disabilities joining in sheltered employment service programs may have different outcomes. Thus, job coaches in the sheltered employment service programs might enhance the quality of counseling services for sheltered employees/clients with different categories of disabilities, sheltered employees’ working environment improvements by job redesigning and accommodation, and regularly receiving on-the-job training in these fields.

• This is the first study to do a cost-benefit analysis with monetary and non-monetary benefits for sheltered employment service programs in Taiwan. It provides firmer evidence-based information and suggestions for policy makers and practitioners as a means to better understand and improve the outcomes of sheltered employment services.

Keywords::

• Cost benefit analysis
• sheltered employment
• Taiwan

Acknowledgements

The authors acknowledge the International Conference on Social Welfare Development for providing the opportunity to present a draft of this paper at National Chi-Nan University, Taiwan on Oct. 11–12^th, 2007. In addition, the authors appreciate Sunshine Social Welfare Foundation, Taiwan for providing the data for this study.

Declaration of Interest: The authors are most grateful to the sponsorship by National Taiwan University College of Social Sciences.