The Ramadan Effect in the Workplace

We investigate the consequences of Ramadan on the incidence of work accidents. Using daily observations from 2003 to 2016, we exploit the solar rotation of Ramadan days (11 days backward each year) to assess the impact of Ramadan on accidents involving Muslim workers in Spain, estimating a decrease in injuries for these workers with no spillover effects on non Muslim workers (mainly South Americans and Romanians). We explain our results as mainly driven by adjustments at both the extensive and intensive margin in the labor market. We show that the effect is stronger where Ramadan is harsher (longer duration of the fasting day based on latitude), and in provinces where there is a higher concentration of naturalized Muslims. Based on our results, policies supporting religious diversity and reconciling religious practices with the working schedule might decrease health costs related to occupational injuries.