The Ramadan effect in the workplace

Abstract

Using daily observations from Spain during the period 2003 to 2016, we leverage the solar rotation of Ramadan days to assess its impact on occupational injuries involving Muslim workers (i.e. first generation immigrants). Compared to non-Muslim first generation immigrants, we show a decrease by 4% in injuries for Muslim workers. We investigate the effects on labor market and find significant changes at the extensive margin (lower employment probability, fewer employment contracts signed) as well as in working conditions. Additionally, we show that the effect is stronger when Ramadan is more harsh (longer fasting day duration). Based on our results, it appears that reconciling religious practices with working schedules in a systematic way, may help to reduce the health and productivity costs associated to injuries.