There is increasing concern regarding obesity related healthcare costs
in South Africa. Obesity is also seen to have far reaching effects that
seep into labour market outcomes (Barnett & Kumar, 2009). Using NIDS
panel data, this study aims to examine the relationship between Body
Mass Index and employment status as well as wage levels. This is done
using a probit and tobit model and thereafter a system GMM model
to take endogeneity into account. Thereafter, the paper uses ethnicity
backed obesity thresholds to measure the discrimination obese individuals
face on the probability of becoming employed and their wages earned
once employed. It is found that obesity is indeed, an influencing factor
and a source of discrimination within the labour market in South Africa.
Moreover, this discrimination is seen to be more so for females than males