Self‐Employment and Job Satisfaction: Investigating the Role of Self‐Efficacy, Depression, and Seniority

Don E. Bradley and James A. Roberts

Journal of Small Business Management, 2004, vol. 42, issue 1, 37-58

Abstract: Are self‐employed workers more satisfied with their jobs compared to wage and salary workers? Using The National Survey of Families and Households: Wave I, 1987–1988, and Wave II 1992–1994 several expectations are evaluated in this article. First, self‐employed persons should enjoy higher job satisfaction than others. Second, a portion of the association between job satisfaction and self‐employment should be explained by higher levels of self‐efficacy and by lower levels of depression among the self‐employed compared to others. Third, self‐employment veterans are a select group and should be different systematically from self‐employment newcomers with respect to reported job satisfaction. Findings offer support for the first and second arguments above but not the third. Post‐hoc analysis suggests that among the newly self‐employed, the association between job satisfaction and self‐employment depends on both the quantity and quality of time invested in the business. Implications of these findings and directions for further research are discussed.

Date: 2004
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DOI: 10.1111/j.1540-627X.2004.00096.x

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