World Obesity Day: New Paper Highlights the Impact of Obesity on the Labor Market and the Economy

The IHS publication shows that health risks, social inequalities, and employment opportunities are closely interconnected.

(Vienna, February 26, 2026) Marking World Obesity Day on March 4, 2026, the Institute for Advanced Studies is publishing a new White Paper on the impact of obesity on employment and the economy. The findings show that obesity is increasingly not only a public health issue, but also a labor market and economic policy challenge. Increased sick leave, health-related limitations, and early exit from the workforce generate substantial economic costs. People living with obesity - particularly women - also face lower employment prospects.

Inequalities Amplify Risks

The White Paper demonstrates that obesity is closely linked to social inequalities. Individuals in socioeconomically disadvantaged circumstances are more frequently affected, as lower income, limited educational attainment, demanding working conditions, and restricted access to healthy foods and opportunities for physical activity make healthy lifestyles harder to maintain. At the same time, these groups are more likely to experience unstable employment. Health risks and labor market disadvantages can therefore reinforce one another.

Prevention Benefits Health and the Economy

International data, including analyses by the OECD, show that targeted population-wide measures can generate substantial benefits. Nutritional information on menus and food products, as well as broad public awareness campaigns, can reduce chronic diseases and increase life expectancy. Menu labeling alone could generate cumulative savings of up to USD 13 billion (PPP) in OECD countries between 2020 and 2050.

Coordinated Action as a Shared Approach

“Obesity affects labor market participation more strongly than is often assumed,” explains Thomas Czypionka, IHS health economist. “When health risks, social factors, and employment opportunities interact, long-term consequences arise both for individuals and for the broader economy.” The findings of the White Paper highlight the importance of coordinated action that integrates prevention, workplace health promotion, equitable access to care, and evidence-informed policymaking.

The White Paper “Obesity and the Labor Market,” along with a summary one-pager, is now available for download.


MORE ON THE TOPIC

Additional publications by the IHS research group “Health Systems and Health Policy”:

  • Last year’s study on the burden of obesity in Austria shows that obesity accounts for approximately 8% of all deaths (nearly 4,000 annually), represents about 5% of total health care expenditures, and reduces both life expectancy and healthy life years. It is available here.
  • A 2025 study on the economic impact of obesity in childhood and adolescence can be found here.
  • Another 2025 study analyzes the societal effects and cost implications of pharmacological treatment for moderate to high-risk obesity. It can be accessed here.

CONTACT

Institut for Advanced Studies (IHS)
Clara Wimmer, MA

mediarelations@ihs.ac.at

www.ihs.ac.at

 

This work was partly supported by funding from Novo Nordisk. The funding source had no influence on the results, and the views expressed are solely those of the authors.