Employment status, material hardship, and mental health among low‐income working‐age adults in South Korea

Abstract

AbstractThe current study examines the associations between employment status and mental health and the mediating role of material hardship among low‐income households in South Korea. This study uses regression models with a rich set of control variables and lagged dependent variable models with a nationally representative sample of 1113 low‐income working‐age household heads from the Korean Welfare Panel Study (KOWEPS). We find that the nonstandard employment and unemployment statuses are associated with a higher level of depression and a lower level of self‐esteem, when compared to a standard employment status. These negative associations are partially mediated by an increased material hardship risk. Policy implications to improve employment conditions and mitigate material hardship are discussed.