People with a chronic condition tend to report poorer subjective well-being than people without. This article examines the dependence of the relationship on doing paid and voluntary work, and on macro-level labour market exclusion of people with and without chronic conditions. Data from the European Quality of Life Survey (2011–2012) of people aged between 25 and 65 are analysed using multilevel regression techniques. A chronic condition has a stronger negative effect on subjective well-being for persons who are economically inactive or who never engage in voluntary work. The importance of paid work, however, varies with national levels of labour exclusion.