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Job Anxiety, Work-Related Psychological Illness and Workplace Performance


  • Latreille, Paul L.

    () (University of Sheffield)

  • Sloane, Peter J.

    () (Swansea University)


This paper uses matched employee-employer data from the British Workplace Employment Relations Survey (WERS) 2004 to examine the determinants of employee job anxiety and work-related psychological illness. Job anxiety is found to be strongly related to the demands of the job as measured by factors such as occupation, education and hours of work. Average levels of employee job anxiety, in turn, are positively associated with work-related psychological illness among the workforce as reported by managers. The paper goes on to consider the relationship between psychological illness and workplace performance as measured by absence, turnover and labour productivity. Work-related psychological illness is found to be negatively associated with several measures of workplace performance.

Suggested Citation

  • Latreille, Paul L. & Sloane, Peter J., 2011. "Job Anxiety, Work-Related Psychological Illness and Workplace Performance," IZA Discussion Papers 5809, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp5809

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    References listed on IDEAS

    1. Buhai, Sebastian & Cottini, Elena & Westergaard-Nielsen, Niels, 2008. "The impact of workplace conditions on firm performance," Working Papers 08-13, University of Aarhus, Aarhus School of Business, Department of Economics.
    2. Paul Fenn & Simon Ashby, 2004. "Workplace Risk, Establishment Size and Union Density," British Journal of Industrial Relations, London School of Economics, vol. 42(3), pages 461-480, September.
    3. Sarah Brown & Robert McNabb & Karl Taylor, 2006. "Firm Performance, Worker Commitment and Loyalty," Working Papers 2006005, The University of Sheffield, Department of Economics, revised Apr 2006.
    4. Francis Green, 2008. "Leeway for the Loyal: A Model of Employee Discretion," British Journal of Industrial Relations, London School of Economics, vol. 46(1), pages 1-32, March.
    5. Alex Bryson & Satu Nurmi, 2011. "Private sector employment growth, 1998--2004: a panel analysis of British workplaces," Cambridge Journal of Economics, Oxford University Press, vol. 35(1), pages 85-104.
    6. Viscusi, W Kip & Aldy, Joseph E, 2003. "The Value of a Statistical Life: A Critical Review of Market Estimates throughout the World," Journal of Risk and Uncertainty, Springer, vol. 27(1), pages 5-76, August.
    7. repec:nsr:niesrd:371 is not listed on IDEAS
    8. Michael French & Laura Dunlap, 1998. "Compensating wage differentials for job stress," Applied Economics, Taylor & Francis Journals, vol. 30(8), pages 1067-1075.
    9. Andrew J. Oswald & Eugenio Proto & Daniel Sgroi, 2015. "Happiness and Productivity," Journal of Labor Economics, University of Chicago Press, vol. 33(4), pages 789-822.
    10. Machin, Stephen J & Stewart, Mark B, 1990. "Unions and the Financial Performance of British Private Sector Establishments," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 5(4), pages 327-350, Oct.-Dec..
    11. Cottini, Elena & Lucifora, Claudio, 2010. "Mental Health and Working Conditions in European Countries," IZA Discussion Papers 4717, Institute for the Study of Labor (IZA).
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    13. Robone, S & Jones, A. M & Rice, N, 2008. "Contractual Conditions, Working conditions, Health and Well-Being in the British Household Panel Survey," Health, Econometrics and Data Group (HEDG) Working Papers 08/19, HEDG, c/o Department of Economics, University of York.
    14. Xiangdong Wei, 2007. "Wage compensation for job-related illness: Evidence from a matched employer and employee survey in the UK," Journal of Risk and Uncertainty, Springer, vol. 34(1), pages 85-98, February.
    15. repec:reg:rpubli:282 is not listed on IDEAS
    16. Bryson, Alex & Barth, Erling & Dale-Olsen, Harald, 2012. "Do higher wages come at a price?," Journal of Economic Psychology, Elsevier, vol. 33(1), pages 251-263.
    17. Barry Reilly & Pierella Paci & Peter Holl, 1995. "Unions, Safety Committees and Workplace Injuries," British Journal of Industrial Relations, London School of Economics, vol. 33(2), pages 275-288, June.
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    More about this item


    absence; stress; job anxiety; labour productivity;

    JEL classification:

    • I0 - Health, Education, and Welfare - - General
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J81 - Labor and Demographic Economics - - Labor Standards - - - Working Conditions
    • J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General

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