Paid household go away (PFL) present paid time without work for staff who take care of a new child (parental go away) or take care of a sick or briefly disabled member of the family (caregiving go away). The US is among the few nations that doesn’t supply PFL, however a variety of State have determined to undertake their very own coverage. California was the primary state to enact PFL and did so in 2004. As of now, 11 states (plus DC) have some for of PFL.
To raised perceive how PFL impacts job retention, a paper by Coile, Rossin-Slater and Su (2022) depend on a difference-in-difference technique to look at job retention traits earlier than and after the enactment of PFL. The authors deal with the introduction of PFL in 3 giant states: California, New York and New Jersey. They use information from 1996-2019 Medical Expenditure Panel Survey (MEPS) to establish staff whose partner or little one experiences a well being shock (i.e., hospitalization or surgical procedure) through the survey. Based mostly on this method, the authors discover that:
…gaining access to PFL results in a 7.0 share level decline within the chance that working wives whose partner has a hospitalization or surgical procedure report “leaving a job to take care of house or household” within the survey interviews following the well being shock. For males, there isn’t a such impact. This gender distinction within the impact of PFL entry is per earlier literature that has discovered that ladies are considerably extra more likely to have interaction in caregiving for his or her in poor health spouses than males. Apparently, the results of PFL entry on employment are concentrated amongst spousal caregivers with low ranges of schooling, suggesting that government-provided PFL could cut back pre-existing disparities in go away use and related outcomes.