Employment stabilization subsidies and enterprise industrial robot adoption: evidence from a quasi-natural experiment in China

Using data from Chinese A-share listed manufacturing companies over the period 2009–2023, this study employs a quasi-natural experimental approach to examine the impact of employment stabilization subsidies on enterprise industrial robot adoption. The findings indicate that employment stabilization subsidies significantly promote enterprise industrial robot adoption. Mechanism tests reveal that employment stabilization subsidies promote industrial robot adoption primarily by alleviating financing constraints and fostering technological innovation. Heterogeneity analysis further shows that this positive effect is more pronounced for labour-intensive enterprises, non-state-owned enterprises, enterprises in cities with better commercial credit environments, and those in regions with higher marketization levels. These findings advance the literature on labour market policies and enterprise technological upgrading, offering new empirical evidence on how government employment subsidies shape enterprise automation decisions.