AUTHOR=Yang Yifei 

TITLE=Urban–rural social security, adult children’s layoffs and older parents’ health

JOURNAL=Frontiers in Public Health

VOLUME=Volume 13 - 2025

YEAR=2025

URL=https://www.frontiersin.org/journals/public-health/articles/10.3389/fpubh.2025.1619806

DOI=10.3389/fpubh.2025.1619806

ISSN=2296-2565

ABSTRACT=ObjectiveAging population and rising unemployment risks have emerged as dual challenges for governments worldwide. Using China’s 1990s state-owned enterprise layoffs as a natural experiment, we examine causal evidence on how adult children’s unemployment affects older parents’ health. We particularly analyze how urban–rural social security moderates these effects.MethodsUsing data from the China Health and Nutrition Survey 1991–2006, we construct three health outcome dimensions for older parents: disease status, daily functional abilities (physical function and instrumental activities of daily living), and body mass index. Econometric analysis uses a two-way fixed effects model and a causal forest model.ResultsThe layoffs of adult children significantly increased older parents’ morbidity risk. Due to disparities in the social security system between urban and rural household registration (hukou), this effect primarily increased health risks—including higher probability of disease, increased risk of hypertension, limitations in daily activities, and underweight conditions—among rural-hukou older parents living in urban areas. In contrast, layoffs of adult children showed no measurable impact on urban-hukou older parents. Mechanistically, layoffs did not reduce daily care provided by children to their parents, but rather diminished household income. Moreover, layoffs of adult children reduced older parents’ healthcare utilization and lowered their nutritional intake. Rural-hukou older parents living in urban areas were most affected, with reduced protein and fat consumption.ConclusionThe reduction in family resources caused by adult children’s unemployment is detrimental to older parents’ health. The social security system serves as a vital safety net for protecting the health of older populations. Strengthening social security is an essential policy complement to mitigate welfare losses in families affected by unemployment.