Arbeitspapier

Gender gaps in employment, wages, and work hours: Assessment of COVID-19 implications

The COVID-19 pandemic has highly asymmetric effects on labour market outcomes of men and women. In this paper, we empirically investigate the dynamics and drivers of gender gaps in employment rates, wages and workhours during the pandemic. Relying on Estonian Labour Force Survey data, we document that the pandemic has, if anything, reduced gender inequality in all three domains. Our results suggest that, while the evolution of inequalities mirrored the infection rate development - rising as infections mounted and declining as the first wave flattened - overall, the pandemic did not exacerbate gender gaps in 2020. The cyclical increases in gender disparities were largely driven by parenthood, as child-rearing women experienced a major decline in their employment rate and workhours, as well as gender segregation in the most affected industries. The higher propensity to work from home and better educational attainments of women deterred gender wage gap expansion, as wage returns to telework and education rose during the pandemic. Our results suggest no systematic expansion of gender gaps, but rather short-term fluctuations. However, labour market penalties for women with young children and women employed in those industries most affected by COVID-19 may last longer than the pandemic, threatening to widen gender inequality in the long run.

Language
Englisch

Bibliographic citation
Series: wiiw Working Paper ; No. 202

Classification
Wirtschaft
Economics of Gender; Non-labor Discrimination
Labor Force and Employment, Size, and Structure
Wage Level and Structure; Wage Differentials
Subject
COVID-19
employment
gender
inequalities
wage gap

Event
Geistige Schöpfung
(who)
Tverdostup, Maryna
Event
Veröffentlichung
(who)
The Vienna Institute for International Economic Studies (wiiw)
(where)
Vienna
(when)
2021

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Tverdostup, Maryna
  • The Vienna Institute for International Economic Studies (wiiw)

Time of origin

  • 2021

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