Approximately 1 in 10 working-age Australians provide unpaid care to people with disabilities, long-term health issues, or age-related conditions. This raises the important question of how caregiving impacts employment prospects, life satisfaction, and the mental health of those who provide care. Following people before and after they take on a carer duty using the Household, Income, and Labour Dynamics in Australia (HILDA) survey, the research finds that:

• Around 59% of future caregivers are employed in the year before they become caregivers. This drops to 56% once they start providing care. 
• Within two years, the size of these effects diminishes but does not disappear for primary caregivers. 
  Life satisfaction and mental health of caregivers also deteriorate in the years following the start of caregiving. 

Overall, the results show that informal caregiving responsibilities have significant costs for those who provide these services; however, the overall labour market effects appear to be moderate.