@TechReport{iza:izadps:dp14548, author={Fernández-Kranz, Daniel and Rodríguez-Planas, Núria}, title={Too Family Friendly? The Consequences of Parent Part-Time Working Rights}, year={2021}, month={Jul}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={14548}, url={https://www.iza.org/index.php/publications/dp14548}, abstract={We use a difference-in-differences model with individual fixed effects to evaluate a 1999 Spanish law granting employment protection to workers with children younger than 6 who had asked for a shorter workweek due to family responsibilities. Our analysis shows that well- intended policies can potentially backfire and aggravate labor market inequalities between men and women, since there is a very gendered take-up, with only women typically requesting part-time work. After the law was enacted, employers were 49% less likely to hire women of childbearing age, 40% more likely to separate from them, and 37% less likely to promote them to permanent contracts, increasing female non-employment by 4% to 8% relative to men of similar age. The results are similar using older women unaffected by the law as a comparison group. Moreover, the law penalized all women of childbearing age, even those who did not have children. These effects were largest in low-skill jobs, at firms with less than 10 employees, and in industries with few part-time workers. These findings are robust to several sensitivity analyses and placebo tests.}, keywords={compositional bias;fixed-term and permanent contract employment;female employment transitions and wages}, }