%0 Report %A Bhalotra, Sonia R. %A Daysal, N. Meltem %A Freget, Louis %A Hirani, Jonas Cuzulan %A Majumdar, Priyama %A Trandafir, Mircea %A Wüst, Miriam %A Zohar, Tom %T Postpartum Depression and the Motherhood Penalty %D 2026 %8 2026 Feb %I Institute of Labor Economics (IZA) %C Bonn %7 IZA Discussion Paper %N 18366 %U https://www.iza.org/index.php/publications/dp18366 %X Using Danish administrative data linked to two independent, validated postpartum depression screenings, we study how postpartum mental health shocks shape women’s labor market trajectories. Event-study estimates show no pre-birth differences in trends between depressed and non-depressed mothers, but persistent employment gaps that widen immediately after birth. Health-care utilization patterns indicate that these differences reflect acute mental health shocks rather than pre-existing trends. The penalties are concentrated among less educated mothers and those in less family-friendly jobs. Our results highlight postpartum depression as a meaningful and unequal contributor to the motherhood penalty. %K postpartum depression %K motherhood penalty %K labor market inequality