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The effect of state maternity leave legislation and the 1993 Family and Medical Leave Act on employment and wages
Institution:1. DIW-Berlin, Mohrenstr. 58, 10117 Berlin, Germany;2. FU Berlin, Garystr. 21, 14195 Berlin, Germany;1. Economics Department, Universitat de Girona, Carrer Universitat de Girona 10, Campus de Montilivi, Girona 17003, Spain;2. Research School of Economics, Australian National University, H.W. Arndt Building 25A, ACT 2601 Canberra, Australia;3. Economics Department, Universitat de Girona, Carrer Universitat de Girona 10, Campus de Montilivi, Girona 17003, Spain;4. University of Kent, UK;1. University of Barcelona, Spain;2. IAE-CSIC, Spain;3. IZA, Germany;4. Universitat Pompeu Fabra, Spain;5. Barcelona GSE, Spain
Abstract:In 1993, President Clinton signed the Family and Medical Leave Act (FMLA). Similar to the 12 states that already had maternity leave mandates, the FMLA guarantees 12 weeks of unpaid leave for eligible mothers. I evaluate the effects of maternity leave legislation on employment and wages, taking advantage of variation created by state legislation and the FMLA. My results show that maternity leave legislation has small and statistically insignificant effects on employment and wages. Maternity leave legislation may have little effect because the mandated leave is short and unpaid and many employers provided maternity leave benefits prior to the statutes.
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