Self-employment and work-related stress: The mediating role of job control and job demand

Drawing upon the Job Demand-Control (JDC) model, this study investigates differences in work-related stress between the self-employed and wage workers. The JDC model postulates that job demand increases work-related stress, whereas job control reduces it (also by weakening the effect of job demand on work-related stress). Based on this model, we predict that the self-employed experience less work-related stress than wage workers. Empirical analysis of a longitudinal sample from Australia (2005-2013) confirms our expectations and demonstrates that job control fully mediates the negative relationship between self-employment and work-related stress. Further analyses show that self-employed individuals with employees experience more work-related stress than those without employees because of higher job demand.