THE ECONOMIC CONSEQUENCES OF PARENTAL LEAVE MANDATES - LESSONS FROM EUROPE

This study investigates the economic consequences of rights to paid pa rental leave in nine European countries over the 1969 through 1993 per iod. Since women use virtually all parental leave in most nations, men constitute a reasonable comparison group, and most of the analysis ex amines how changes in paid leave affect the gap between female and mal e labor market outcomes. The employment-to-populations ratios of women in their prime childbearing years are also compared with those of cor responding aged men and older females. Parental leave is associated wi th increases in women's employment, but with reductions in their relat ive wages at extended durations.