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Several recent developments in health care in the United States include declining health care coverage, particularly that provided by employers, and a noticeable shift in the burden of medical care costs to employees. If these developments cause employees to feel locked into their jobs, optimal job matches in the labor force will not take place. Partly in response, the federal government has passed laws protecting health coverage for workers who switch jobs, with the passage of the Consolidated Omnibus Budget Reconciliation Act of 1986 and later the Health Insurance Portability and Accountability Act in 1996. In this paper we summarize the current literature on the topic and present some findings using the National Health Interview Survey, focusing on the 1997-2003 period. Our findings are consistent with recent assertions that there is some evidence of job-lock.

Employer-Provided Health Insurance and the Incidence of 'Job-Lock': Is There a Consensus?