register
key topic

Female labor force participation

Female labor force participation is mainly driven by the value of women’s waged employment versus the value of their time outside the workplace. While women’s labor force participation has risen in many countries, it has plateaued in the US since 1990 and remains quite low in some countries and regions.

What matters, ultimately, is the opportunity and choice women have to work outside the home and their ability to access decent and productive employment. Women continue to have greater household and caring responsibilities and the motherhood wage penalty can represent a significant cost to being female and having children. Family-friendly policies, like paid maternity and parental leave and flexible work hours, can help, as can the expansion of childcare and universal preschool, but may also have unintended negative consequences for women’s career advancement.

Lack of progress on female labor force participation represents a lost economic, not to mention social, opportunity.

articles

  • Fertility decisions and alternative types of childcare Updated

    Relative costs and family characteristics determine the effectiveness of different forms of childcare

    Chiara PronzatoSharon PiccoStefania Ottone, October 2024
    Increasing population age and low fertility rates, which characterize most modern societies, compromise the balance between people who can participate in the labor market and people who need care. This is a demographic and social issue that is likely to grow in importance for future generations. It is therefore crucial to understand what factors can positively influence fertility decisions. Policies related to the availability and costs of different kinds of childcare (e.g. formal care, grandparents, childminders) should be considered after an evaluation of their effects on the probability of women having children.
    MoreLess

  • How to support adult caregivers?

    Caregiving for older adults is detrimental to caregivers’ well-being and requires policy interventions to support them

    Joan Costa-Font, June 2023
    Some studies estimate that the value of time spent on unpaid caregiving is 2.7% of the GDP of the EU. Such a figure exceeds what EU countries spend on formal long-term care as a share of GDP (1.5%). Adult caregiving can exert significant harmful effects on the well-being of caregivers and can exacerbate the existing gender inequalities in employment. To overcome the detrimental cognitive costs of fulfilling the duty of care to older adults, focus should be placed on the development of support networks, providing caregiving subsidies, and enhancing labor market legislation that brings flexibility and level-up pay.
    MoreLess

  • The gender gap in time allocation

    Gender inequalities in daily time allocation may have detrimental effects on earnings and well-being

    Jose Ignacio Gimenez-NadalJose Alberto Molina, July 2022
    Many countries experience gender differences, of various magnitudes, in the time devoted to paid work (e.g. market work time) and unpaid work (e.g. housework and childcare). Since household responsibilities influence the participation of women, especially mothers, in the labor market, the unequal sharing of unpaid work, with women bearing the brunt of housework and childcare, is one of the main drivers of gender inequality in the labor market. Understanding the factors behind these gender inequalities is crucial for constructing policies aimed at promoting gender equality and combating gender-based discrimination.
    MoreLess

  • Parental leave and maternal labor supply Updated

    Parental leave increases the family–work balance, but prolonged leave may have negative impacts on mothers’ careers

    Astrid Kunze, June 2022
    Numerous studies have investigated whether the provision and generosity of parental leave affects the employment and career prospects of women. Parental leave systems typically provide either short unpaid leave mandated by the firm, as in the US, or more generous and universal leave mandated by the government, as in Canada and several European countries. Key economic policy questions include whether, at the macro level, female employment rates have increased due to parental leave policies; and, at the micro level, whether the probability of returning to work and career prospects have increased for mothers after childbirth.
    MoreLess

  • Women’s labor force participation Updated

    Family-friendly policies increase women’s labor force participation, benefiting them, their families, and society at large

    Anne E. Winkler, February 2022
    Female labor force participation is mainly driven by the value of their market wages versus the value of their non-market time. Labor force participation varies considerably across countries. To understand this international variation, it is important to further consider differences across countries in institutions, non-economic factors such as cultural norms, and public policies. Such differences provide important insights into what actions countries might take to further increase women's participation in the labor market.
    MoreLess

  • Encouraging women’s labor force participation in transition countries Updated

    Government policies can stimulate female labor force participation if coherent and well thought-out

    Norberto Pignatti, November 2020
    Increasing women's labor force participation is important to sustainable economic development, especially in economies with highly educated women and an aging population. Women's participation varies across transition countries, driven by such economic and social factors as traditional views of gender roles and limited government support for caregivers. Still, in all countries there is clear scope for policies aimed at increasing women's participation. In particular, in countries where women's educational attainment is already high, policies to support a better work–life balance and female entrepreneurship look particularly promising.
    MoreLess
show more
opinions