This blog is based on an article in the Journal of Social Policy by Marie Valentova, Anissa Amjahad and Anne-Sophie Genevois. Click here to access the article.
In Luxembourg, the likelihood of mothers and fathers taking parental leave is substantially lower in very small companies compared to larger firms. Mothers working in predominantly female-dominated sectors like education, health, and social services are more inclined to take parental leave than those in other industries. The partner’s workplace characteristics also play a role, with fathers being influenced by their partner’s economic sector, while mothers’ decisions are linked to their partner’s workplace size.
Our article focused on two key research questions. First, how are workplace characteristics (such as the size of company and economy sector) of parents and their partners associated with parental leave take-up? Second, how do the workplace characteristics of parents and their partners relate to the intensity of parental leave take-up (whether people take full-time, part-time, or no leave) by those eligible? To address these questions, administrative records from Luxembourg covering the entire population of parents during the period from 2004 to 2015 was used.
The primary outcomes related to individual workplace characteristics reveal that the economy sector of the company has a significant impact on the decision of mothers to take parental leave. Mothers employed in the education, health, and social services sector are more likely to take leave than those working in other fields, while the chances of them taking general and full-time leave are much lower in sectors like construction, public administration, and business services. In comparison, fathers working in the education, health, and social services sector are more likely to take parental leave than all other fathers. However, the degree of variation in leave take-up probability in relation to the industry sector is relatively small, except for the finance, hotels and catering sectors. These findings are consistent with prior research and are attributed to the increased number of women in the workforce and the establishment of parental leave entitlement in the education, health, and social services sector.
With regards to company size, the probability of taking full-time leave is substantially lower amongst mothers working in small companies (fewer than 10 employees) compared with those employed in larger firms. Conversely, the probability of part-time leave take-up appears to be highest amongst mothers in small-sized firms and comparatively lowest in larger companies. Similar, although weaker, associations between company size and take-up are also observed among fathers.
Hence, when we look at general take-up and full-time take-up of parental leave, our findings are in line with earlier evidence, arguing that larger companies face greater societal pressure to support statutory policies and, at the same time, it is cheaper and easier for them to implement efficient procedures related to the adoption of these policies. However, it appears that a more flexible form of leave, which allows people to reconcile work and childcare duties, is more common amongst employees of small firms than those working in larger ones. From a policy perspective, it would be advisable to increase parental leave flexibility to make it more compatible with the organisational situation of companies in order to stimulate take-up in small firms.
With regards to the effect of partners’ workplace characteristics on take-up, the economic sector in which the partner works does not substantially affect mothers’ take-up; however, it is associated with fathers’ usage of parental leave. Fathers’ take-up is notably more likely if their partner works in education, health, or social services. Our data also reveal that mothers’ overall take-up, as well as its intensity, varies substantially depending on the size of the company in which their partner works. Mothers with a partner working in a small firm are more likely to take parental leave.
To sum up, the findings of this paper are in line with existing literature suggesting that after accounting for all other possible factors, individual workplace characteristics are strongly associated with parental leave take-up, as employers represent important stakeholders in the implementation of these policies. In Luxembourg, the position of employers is strengthened by the fact that using the part-time form of leave is conditional on their approval. Our study, providing comparable analyses for men and women, also shows that workplace characteristics—particularly company size—are related to leave usage of both mothers and fathers. Company size is strongly associated with both the extensive and the intensive margin of take-up for mothers and fathers, whereas economic sector is only substantially associated with mothers’ take-up.
Our findings also suggest that the relationship between parental leave and workplace characteristics is not only direct (meaning that the workplace only affects the leave-taking behaviour of employees) but also indirect (in that the workplace characteristics of an employee also affect the take-up decisions of his or her partner). The non-negligible association between some partners’ workplace characteristics (mainly company size) can be found amongst both mothers and fathers. Hence, it appears that it is not only mothers who reflect the workplace situation of their partner, but also that the behaviour of fathers is affected. These findings corroborate the relevance of theories of couple dynamics and bargaining in the context of workplace and leave-taking behaviour of both mothers and fathers.
About the authors
Marie Valentova is a Research Fellow at the Luxembourg Institute of Socio-Economic Research.
Anissa Amjahad is a Researcher at the Luxembourg Institute of Socio-Economic Research.
Anne-Sophie Genevois is Senior Data Analyst at the Luxembourg Institute of Socio-Economic Research.
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