Kazakhstan's welfare system makes it mathematically pointless for people with mental health issues to ever get a job.
Because disability pensions are higher than the national minimum wage, the 'effective tax' on working is over 100%. This institutional design trap forces stable patients to remain unemployed and isolated just to avoid losing their net income.
The "Silent Tax" of the Semashko Legacy
SSRN · 6307887
This brief demonstrates that the exclusion of individuals with psychiatric conditions from Kazakhstan's labor market is driven by flawed institutional design, not clinical limitations. Our analysis reveals a severe 'welfare trap' embedded in the state's social protection system. With a guaranteed disability pension of 89,498 KZT and a national minimum wage of 85,000 KZT, the Effective Marginal Tax Rate (EMTR) strictly exceeds 100%.Transitioning to formal employment mathematically guarantees a lo