Gender Differences in the Relationship Between Labour Market Outcomes and Well‐being

Nicholas Biddle and Maria Jahromi

The Economic Record, 2023, vol. 99, issue 325, 207-237

Abstract: The COVID‐19 pandemic has had widespread impacts on the labour market and on individuals' well‐being. This paper examines gender differences in the relationship between labour market outcomes and well‐being over the pandemic. We draw on longitudinal data from the ANUpoll survey that has been conducted before COVID‐19 and at several points throughout the pandemic. We find higher levels of well‐being among those who are employed relative to most other labour market outcomes, controlling for individual random effects. These gaps in well‐being are greatly reduced or disappear after controlling for financial circumstances and health. We also observe gender differences in the relationship between well‐being and labour market outcomes, in particular: (i) life satisfaction is more closely related to labour market outcomes for females relative to males, and (ii) there is a stronger association between being unemployed and not actively looking and serious mental distress for males relative to females. Well‐being tends to be lower during lockdowns and during the Omicron wave in January 2022, particularly among females. Our findings have implications for ongoing and future pandemic policies. Where restrictions that reduce employment are necessary, we show that during a pandemic financial support has the potential to reduce or in some cases potentially close the gap in well‐being between those who are employed and those in other employment activities.

Date: 2023
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https://doi.org/10.1111/1475-4932.12719

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