Child-related leave and women's labour market outcomes: towards a new paradigm in the European Union?

The current European Union (EU) legislative framework on child-related leave is facilitating an imbalance in the take-up of leave by women over men. There is a consolidated EU right to maternity leave for mothers but there is no parallel EU right to paternity leave for fathers. The EU right to parental leave is for both working mothers and fathers, but its design does not encourage an equal take-up by women and men. The aim of this article is to gain insight into the effects of child-related leave on women's labour market outcomes. On the one hand, it reviews and analyses economic literature which points to the adverse consequences of leave on women's earnings, and even on women's labour market participation when the absences from work are very prolonged. On the other hand, it underlines the new direction followed by the European Commission towards greater equality between men and women at home and at work.