Abstract

Effect of maternity leave and day care on participation rates The picture is clear. Maternity leave, and all the benefits Hewlett claims European countries have, donot substantially affect women”s participation in the work force. There is no significant difference in the participation rate of American women versus Canadian and European women. Finland does have higher overall and full-time participation rates, and Finland has long maternity leave. But if maternity leave made a difference, then West Germany, Canada, Italy, etc., should also have significantly higher participation rates than the U.S. It is significant that Finland had a high female participation rate before it had any maternity leave at all. Finland does not have particularly good day care or preschool education. Yet it has a higher participation rate than Frnace, with its excellent preschool system for three-to-six-year-olds. West Germany givesseven and a half monthsmaternity leave, with fourteen weeks at100 percentof salary up to a certain maximum, with a very minimal qualification for the leave. Italy givesfive monthsof maternity leave at 80 percent of salary, with another six months available to either parent at 30 percent of salary. Yet both their female overall participation rates and full-time participation rates are similar to, if not lower than, the American female participation rate.

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