Does a flexible parental leave system stimulate maternal employment?
研究奥地利两次育儿假改革,发现更灵活的选择使母亲休假平均减少1-2个月,但并未显著提高就业率,因为多数母亲仍优先照顾孩子,不认为托育是可取的替代方案。
While many women stop working for an extended period after the birth of a child, well-designed parental leave policies can incentivize mothers to return to the labor market sooner. This study examines the effect of two recent parental leave reforms in Austria that allow parents to choose leave schemes with varying duration. Using a regression discontinuity design, we find that the introduction of more flexible scheme choices led mothers to take, on average, 1–2 months less of leave. This decrease in leave duration, however, was not accompanied by an employment increase of similar magnitude. To understand the absence of labor supply effects, we examine data on work preferences from the Austrian Microcensus. Child care duties are cited as the primary reason for not seeking work but few mothers indicate that they would start working if better access to formal childcare were available. Switching to the more flexible leave system had a minimal effect on the labor market choices of mothers, as the majority continue to prioritize child care responsibilities and do not consider nurseries as a desirable alternative. Our findings suggest that policy efforts to shorten parental leave may not be effective in the presence of strong family norms. • This study examines incentives for shorter maternity leave in Austria. • Offering more flexible leave options decreases leave duration by 1–2 months. • Shorter leave duration does not lead to significant employment increases. • Few mothers view formal childcare as a desirable alternative. • Persistent family norms limit the impact of leave policies on labor supply.