Hopes of mandating paid family days may lose to recession


24-Jun-2019 07:19

If women take long parental leaves, the neoclassical model would predict that their lifetime earnings and opportunities for promotion will be less than their male or childfree counterparts, or the "motherhood penalty." In Denmark, the public sector is "family-friendly" because of its generous leave and employee benefits; workers decide which sector to work on based on their preferences and opportunities.The study found that while in the "family-friendly" sector, there was basically no wage loss related to taking parental leave, women did have consistent earnings loss in the "non-family-friendly" private sector for one year's leave.

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Unpaid parental or family leave is provided when an employer is required to hold an employee's job while that employee is taking leave.