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.
When looking at the issue of parental leave and maternal labor supply, some questions remain:
According to IZA World of Labor author Astrid Kunze: “International experience shows positive results with parental leave periods that are not too short and not too long, i.e. not exceeding one or two years, while extended leaves seem to lead to increasing career costs to the mother.”
Kunze adds: “Governments and firms should take notice of workers’ career costs, which vary by educational level and increase according to the length of leave.”
IZA World of Labor author Sher Verick has also looked into the complex nature of female labor force participation across countries. According to Verick: “The relationship between women’s participation in the labor force and development is complex and reflects changes in the pattern of economic growth, educational attainment, fertility rates, social norms, and other factors.”
Verick argues that labor force participation rates paint only a partial picture of women's work. “More important is understanding the quality of women’s employment,” according to him.
Read Astrid Kunze’s full article: Parental leave and maternal labor supply
Read Sher Verick's full article: Female labor force participation and development
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