It is a plausible argument, but it seems at least partially incompatible with known international differences within the wealthy industrialized world. "Using the most recently available data, the ILO has determined that the average Australian, Canadian, Japanese or Mexican worker was on the job roughly 100 hours less than the average American in a year -- that's almost two-and-a-half weeks less. Brazilians and British employees worked some 250 hours, or more than five weeks, less than Americans.". I'd expect very similar zero sum competitions to exist in all of these nations, yet the work hours have substantial differences.
If we accept the premise that most of this work is being spent on a zero-sum game of competing for status and land, then it's a prisoner's-dilemma situation like doping in competitive sports, and a reasonable solution is some kind of regulation limiting that competition. Mandatory six-week vacations, requirements to close shops during certain hours, and hefty overtime multipliers coupled with generous minimum wages are three examples that occur in the real world.
A market fundamentalist might seek to use tradable caps, as with sulfur dioxide emissions, inst...
From Mike Darwn's Chronopause, an essay titled "Would You Like Another Plate of This?", discussing people's attitudes to life:
Conclusion, graphs, and references in article. As usual, I recommend reading Chronopause.com as Darwin has many good articles; to quickly link a few: