A new paper in Nicotine & Tobacco Research, published by Oxford University Press, finds that smoking has a negative effect on earnings among younger workers. This is particularly true among the less well educated.
The adverse health effects of smoking are well known. Smoking increases the risk of various cancers, respiratory issues, and cardiovascular diseases, with approximately 14% of all deaths in 2019 attributed to smoking. Despite smoking rates declining since the 1990s, in 2019 18% of women and 27% of men in high income countries still smoked.
Tobacco smoking has also been associated with reduced success in the labor market, potentially due to its negative impact on labor productivity, especially in physically demanding jobs, as it affects physical fitness and performance negatively. The stigma surrounding smoking may also induce bias and discrimination against people who smoke.
Researchers here used data from the Cardiovascular Risk in Young Finns Study, a longitudinal analysis of 3,596 participants from urban and rural areas of five Finnish university regions, born between 1962 and 1977. They linked this data to labor market outcomes from Statistics Finland and parental background information from the Longitudinal Population Census using personal identifiers. The observation period, starting in 2001, covered people aged 24 to 39.
The researchers assessed smoking using "pack-years," a standard measure of cumulative tobacco exposure, performed by multiplying the average daily cigarettes smoked by the person's age minus the age the person started smoking. A person with a 10-pack-year history of smoking, for instance, has smoked one pack of cigarettes daily for 10 years.
The researchers found that a one-unit increase in pack-years was associated with a 1.8% decrease in earnings. This suggests that reducing smoking by the equivalent of five pack-years could lead to a 9% earnings increase. Additionally, the investigators involved with this study found that a one-unit increase in pack-years led to a 0.5% decrease in years employed.
The research revealed significant earnings differences between smokers and nonsmokers among younger workers, particularly among the lowest educated people. There was no such distinction among older workers. This suggests that smoking among younger generations, where it is less prevalent, may negatively affect labor market prospects more seriously.
The investigators here note that the adverse association between pack-years and employment among the less educated only appears with current smokers. The researchers did not observe this trend in people who had quit smoking.
"Smoking in early adulthood is closely linked to long-term earnings and employment, with lower-educated individuals experiencing the most severe consequences," said the paper's lead author, Jutta Viinikainen. "These findings highlight the need for policies that address smoking's hidden economic costs and promote healthier behaviors."
The paper, "Tobacco smoking in early adulthood and labor market performance: The Cardiovascular Risk in Young Finns Study," is available (at midnight on January 14th) at https://doi.org/10.1093/ntr/ntae296 .
Direct correspondence to:
Jutta Viinikainen
Jyväskylä University School of Business and Economics
P.O. Box 35, FI-40014
University of Jyväskylä
Jyväskylä, FINLAND