Wage effects of extending parental leave in Canada
Authors: Marjolaine Gauthier-Loiselle
Overview
Abstract (English)
This paper estimates the incidence of extended maternity leave benefits on relative wages. I use the 25 weeks increase in paid parental leave in Canada in 2000 to compute a differences-in-differences estimator of the change in the relative average hourly wage of women of childbearing age. Using the Survey of Labour and Income Dynamics (SLID), I compute estimates with and without correction for sample selection and individual heterogeneity. In line with previous research, I find no statistically significant effects in ordinary least squares specifications. However, using a method that corrects for sample selection and unobserved heterogeneity, I find evidence that the extension of parental leave benefits decreased the relative hourly wage of women of childbearing age by approximately 1% compare to older women. However, this decrease in the relative hourly wage doesn’t translate into a statistically significant effect on the relative annual earnings of women of childbearing age.
Abstract (French)
Please note that abstracts only appear in the language of the publication and might not have a translation.
Details
Type | Working paper (online) |
---|---|
Author | Marjolaine Gauthier-Loiselle |
Publication Year | 2010 |
Title | Wage effects of extending parental leave in Canada |
City | Princeton, NJ |
Department | Economics Department |
University | Princeton University |
Publication Language | English |
- Marjolaine Gauthier-Loiselle
- Working paper (online)
- Wage effects of extending parental leave in Canada
- Marjolaine Gauthier-Loiselle
- 2010