Parental Leave Policies and Gender Equality: A Survey of the Literature

Abstract

Important gender differences still persist in many labor market outcomes. This paper argues that the design  of parental leave policies can play an important role in shaping these differences. A summary of the literature reveals that extended maternity leave mandates increase female labor force participation at the cost of lower wages, less presence of women in high-profile occupations and a more traditional division of tasks within the family. Periods of leave exclusively reserved for fathers are proposed as a policy instrument to increase men's participation in family tasks and facilitate women's progress in the professional career. The paper concludes with a revision of these policies and their implications for gender equality.