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Caring Dads? Universal Childcare, Paternity Leave, and Fathers’ Labor Supply

Author

Listed:
  • Huebener, Mathias

    (Federal Institute for Population Research (BiB))

  • Mahlbacher, Malin

    (Federal Institute for Population Research (BiB))

  • Schmitz, Sophia

    (Federal Institute for Population Research (BiB))

Abstract

We study how expansions of publicly subsidized childcare affect the intra-household allocation of labor supply in early childhood, with a particular focus on fathers. Exploiting variation in the roll-out of childcare places for children under three across German counties, we show that increased availability accelerates childcare entry and maternal return to work. Fathers also adjust their labor supply: they take more parental leave and subsequently reduce full-time work, yet without significantly increasing weekday caregiving. These findings imply that childcare policies can reshape labor supply within households, leading to smaller aggregate labor supply effects than suggested by maternal responses alone.

Suggested Citation

  • Huebener, Mathias & Mahlbacher, Malin & Schmitz, Sophia, 2026. "Caring Dads? Universal Childcare, Paternity Leave, and Fathers’ Labor Supply," IZA Discussion Papers 18696, IZA Network @ LISER.
    • Handle: RePEc:iza:izadps:dp18696
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    Keywords

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    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation

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