TY - RPRT AU - Bhalotra, Sonia R. AU - Daysal, N. Meltem AU - Freget, Louis AU - Hirani, Jonas Cuzulan AU - Majumdar, Priyama AU - Trandafir, Mircea AU - Wüst, Miriam AU - Zohar, Tom TI - Postpartum Depression and the Motherhood Penalty PY - 2026/Feb/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 18366 UR - https://www.iza.org/index.php/publications/dp18366 AB - 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. KW - postpartum depression KW - motherhood penalty KW - labor market inequality ER -