Working hours and employee health: Evidence from China's workweek reduction policy

Abstract

This paper examines the impact of China's Workweek Reduction Policy, implemented in 1995, on state employees' health status. The study draws on data from the China Health and Nutrition Survey conducted between 1991 and 2000. Using a difference-in-differences strategy, the research compares the health outcomes of state and non-state employees before and after the policy's implementation. The results reveal a surprising finding: reducing working hours from 48 to 40 had an adverse effect on the health of Chinese state employees despite the policy not affecting their income or nutrition intake. Specifically, the policy resulted in a substantial increase in alcohol consumption, particularly among males. These insights highlight the potential unintended consequences of workweek reduction policies and have important implications for policymakers considering similar measures.