A Direct Comparison of Long-Term Earnings Outcomes for Individuals with Cognitive Disabilities

The long-term earnings impact of sheltered and supported employment on 877 individuals with cognitive disabilities was investigated through the implementation of a comprehensive analytical framework for assessing employment outcomes for people with disabilities who have been served by a vocational rehabilitation (VR) agency in a single state. Information on demographic characteristics, preand post-program earnings, and local economic conditions were merged to allow a comprehensive examination of the earnings outcomes of individuals who receive alternative types of VR services. Results indicated that people served in sheltered and supported employment differ in many ways from other individuals with cognitive disabilities successfully served by the VR agency. Individuals in the supported employment cohort were more likely to have worked in competitive, integrated employment prior to program entry than their sheltered employment counterparts. The sheltered and supported employment cohorts differ slightly in terms of demographic characteristics. Earnings of the supported employment cohort were 250% greater than the sheltered employment cohort across a seven-year post-program period. A fixed effects modeling (FEM) procedure revealed that supported employment had a statistically greater impact on the earnings of persons with disabilities than participation in sheltered employment. Implications are discussed in relation to the recent U.S. Department of Education decision to amend the definition of employment outcome.