Robots as guardians: Industrial automation and workplace safety in China

Journal of Development Economics, 172, 103381

Wei Luo, Lixin Tang, Yaxin Yang, Xianqiang Zou

Abstract

Industrial robots can improve workplace safety by performing hazardous tasks on behalf of workers. This paper examines the impact of industrial robots on workplace safety in China. We find that a one-standard-deviation increase in robot exposure reduces annual workplace accidents and fatalities by 0.100 and 0.0133 cases per thousand population, compared to sample averages of 0.122 accidents and 0.0351 fatalities. These findings are robust to an instrumental variable strategy and various robustness checks. Our analysis of injuries in household surveys and Baidu search activities reinforces these results. Using an accounting framework, we show that the safety improvement is not driven by the mechanical effects of robot-induced employment reduction. Instead, within-occupation improvement in workplace safety plays a more crucial role.