Affiliations: Rural Institute for Inclusive Communities, University of Montana, Missoula, MT, USA
Correspondence:
[*]
Address for correspondence: Catherine Ipsen, Rural Institute for Inclusive Communities, University of Montana, 52
Corbin Hall, Missoula, MT 59812, USA. Tel.: +1 406 243 4562; Fax: +1 406 243 2349;
E-mail: catherine.ipsen@mso.umt.edu.
Abstract: BACKGROUND: Self-employment is an attractive option for people with disabilities because it offers a means to economic independence while overcoming barriers (ODEP, 2013). Compared to national averages, however, self-employment is an underutilized employment strategy in Vocational Rehabilitation (VR). Cited reasons for this discrepancy include VR concerns about self-employment business failures and income potential. OBJECTIVE: This paper explores the viability of VR self-employment closures across geography. METHODS: We compiled 2008 and 2009 RSA-911 data with zip code and county variables from 47 VR agencies (n = 711,037 cases). We used Rural-Urban Commuting Area (RUCA2) codes matched on zip code to group cases into urban, rural, very rural, and isolated rural geography. RESULTS: Closure rates to self-employment increased as geography become more rural. Weekly earnings rates were similar across competitive and self-employment closures, but consumers closed to self-employment worked fewer hours per week (p≤0.001) and earned significantly higher hourly wages (p≤0.001). CONCLUSION: Data show that self-employment offers a viable employment option in terms of weekly earnings and hourly wages. Increased capacity in self-employment is important for rural consumers who face additional barriers to employment such as limited transportation options and a narrower range of competitive employment options.
