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Maternity Leave and the Evidence for Compensating Wage Differentials in Australia

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  • REBECCA EDWARDS

Abstract

Using data from Wave I of the Household, Income and Labour Dynamics in Australia Survey, 2001, in this paper I investigate the value of the maternity leave provisions available to Australian women. The theory of compensating wage differentials informs the model used to estimate the shadow price of eligibility for both paid and unpaid maternity leave benefits. The results suggest a negative wage differential may exist in Australia such that employed women eligible for maternity leave receive a lower rate of pay than those ineligible, all other things being equal. The policy implications of the results are discussed. Copyright © 2006 The Economic Society of Australia.

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Bibliographic Info

Article provided by The Economic Society of Australia in its journal Economic Record.

Volume (Year): 82 (2006)
Issue (Month): 258 (09)
Pages: 281-297

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Handle: RePEc:bla:ecorec:v:82:y:2006:i:258:p:281-297

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Cited by:
  1. Peter Siminski, 2013. "Are low-skill public sector workers really overpaid? A quasi-differenced panel data analysis," Applied Economics, Taylor & Francis Journals, vol. 45(14), pages 1915-1929, May.
  2. Heywood, John S. & Siebert, W. Stanley & Wei, Xiangdong, 2006. "Examining the Determinants of Agency Work: Do Family Friendly Practices Play a Role?," IZA Discussion Papers 2413, Institute for the Study of Labor (IZA).
  3. Barbara Hanel, 2012. "The Impact of Paid Maternity Leave on Labour Market Outcomes," Melbourne Institute Working Paper Series wp2012n19, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.

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