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Parental Leave from the Firm's Perspective

Author

Listed:
  • Corekcioglu, Gozde
  • Francesconi, Marco
  • Kunze, Astrid

Abstract

This study investigates the firm’s response to parental leave induced worker absence. Combining a 20-week maternal leave expansion in Norway and detailed matched employer-employee data between 1983 and 2013, we identify the causal impact of absence on outcomes using a shift-share design. Employers with greater exposure to absence hire more women aged 40 or less and face more employment turnover. These adjustments do not affect profits, but lead to greater investments and sales and to a lower value added and a lower wage bill. One important channel behind such changes is a significant growth of young female part-time employment.

Suggested Citation

  • Corekcioglu, Gozde & Francesconi, Marco & Kunze, Astrid, 2025. "Parental Leave from the Firm's Perspective," CEPR Discussion Papers 20282, Centre for Economic Policy Research.
    • Handle: RePEc:cpr:ceprdp:20282
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    Cited by:

    1. is not listed on IDEAS
    2. Sona Badalyan, 2025. "Crowded Career Ladders? Intra-Firm Spillovers of Raised Retirement Age," CERGE-EI Working Papers wp810, The Center for Economic Research and Graduate Education - Economics Institute, Prague.

    More about this item

    Keywords

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    JEL classification:

    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J81 - Labor and Demographic Economics - - Labor Standards - - - Working Conditions

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