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Does job satisfaction improve the health of workers? New evidence using panel data and objective measures of health

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  • Justina A. V. Fischer
  • Alfonso Sousa‐Poza

Abstract

This paper evaluates the relationship between job satisfaction and measures of health of workers using the German Socio‐Economic Panel. Methodologically, it addresses two important design problems encountered frequently in the literature: (a) cross‐sectional causality problems and (b) the absence of objective measures of physical health that complement self‐reported measures of health status. Not only does using the panel structure with individual fixed effects mitigate the bias from omitting unobservable personal psycho‐social characteristics, but employing more objective health measures such as health‐system contacts and disability addresses such measurement problems relating to self‐report assessments of health status. We find a positive link between job satisfaction (and changes over time therein) and subjective health measures (and changes therein); that is, employees with higher or improved job satisfaction levels feel healthier and are more satisfied with their health. This observation also holds true for more objective measures of health. Particularly, improvements in job satisfaction over time appear to prevent workers from (further) health deterioration. Copyright © 2008 John Wiley & Sons, Ltd.

Suggested Citation

  • Justina A. V. Fischer & Alfonso Sousa‐Poza, 2009. "Does job satisfaction improve the health of workers? New evidence using panel data and objective measures of health," Health Economics, John Wiley & Sons, Ltd., vol. 18(1), pages 71-89, January.
    • Handle: RePEc:wly:hlthec:v:18:y:2009:i:1:p:71-89
    DOI: 10.1002/hec.1341
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    1. Daniel S. Hamermesh, 2001. "The Changing Distribution of Job Satisfaction," Journal of Human Resources, University of Wisconsin Press, vol. 36(1), pages 1-30.
    2. Justina A. V. Fischer & Alfonso Sousa-Poza, 2008. "Personality, Job Satisfaction and Health - The Mediating Influence of Affectivity," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 144(III), pages 379-435, September.
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    More about this item

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • I19 - Health, Education, and Welfare - - Health - - - Other
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy

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