Denmark's child care and parental leave policies erase 80% of the 'motherhood penalty'

"For many women in the U.S. and around the world, motherhood comes with career costs. Raising children tends to lead to lower wages and fewer work hours for mothers- but not fathers-in the United States and around the world. As a sociologist, I study how family relationships can shape your economic circumstances. In the past, I've studied how motherhood tends to depress women's wages, something social scientists call the " motherhood penalty." I wondered: Can government programs that provide financial support"

"to parents offset the motherhood penalty in earnings? A 'motherhood penalty' I set out with Therese Christensen, a Danish sociologist, to answer this question for moms in Denmark-a Scandinavian country with one of the world's strongest safety nets. Several Danish policies are intended to help mothers stay employed. For example, subsidized child care is available for all children from 6 months of age until they can attend elementary school. Parents pay no more than 25% of its cost."

Motherhood commonly reduces women's wages and working hours while fathers' earnings and hours often remain unchanged. Social scientists refer to this effect as the motherhood penalty. Researchers examined whether government financial supports for parents can offset earnings penalties, focusing on Denmark, a Scandinavian country with a strong safety net. Danish policies aim to help mothers stay employed through measures such as subsidized child care for all children from six months until elementary school, with parents paying no more than 25% of the cost. The analysis investigates whether such policies mitigate the motherhood penalty in earnings.

Read at Fast Company