The wage-penalty effect: The hidden cost of maternity leave

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PDFThe wage-penalty effect: The hidden cost of maternity leave
Image: MyTudut / flickr

18 July 2011Australian women suffer a 'wage penalty' when they return to work after having a child, according to new research by the Australia Institute.

In the first year back at work, women can expect to earn around four per cent less per hour on average than they would if they had not had a child, the research shows; this equates to $1,566 a year in foregone wages per person. Mothers are losing about $126 million per year in foregone wages across the workforce as a result.

A new report published by the Australia Institute, The wage penalty effect: The hidden cost of maternity leave, confirms the findings of overseas research demonstrating that incomes grow less quickly among women returning to the workforce.    

Image: MyTudut / flickr

Publication typeReport
Publisher TypeAPO Member, Think tank
CoverageAustralia
Permanent URLhttp://apo.org.au/node/25560
Views2051

Related Topics

Child care

Discrimination

Parenting

Women

Workforce participation

Economics

Social Policy

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