In the Absence of Leave: The Financial Coping Strategies of Disadvantaged New Mothers in the Great Recession

Abstract

Maternity leave is rare in the United States, while paid maternity leave is even more rare. Given this, the days and weeks following a birth often present a financial challenge for new mothers. In this analysis, I examine the social program use and labor force attachment of new mothers during the Great Recession. Using data from the Survey of Income and Program Participation's 2004 and 2008 panels, I examine differences in women's return to work following a birth, as well as rates (and durations) of Temporary Assistance for Needy Families (TANF) uptake following a birth, comparing the period of the Great Recession and the years that preceded it. Controlling for demographic and socioeconomic predictors, I find reduced postpartum employment and heightened reliance on TANF during the Great Recession when compared to the years preceding the recession, suggesting that the financial coping strategies of new mothers shifted during the recession.