Does a Mother's Early Return to Work after Childbirth Improve Her Future Employment Status? Evidence Using the Birth Month of Japanese Babies
We examine if a Japanese mother's early return to work after parental leave improves
her employment status in the short- or long-term. We estimate recursive bivariate
probit models for a mother’s employment status and an early return to work dummy
using July births as an instrument. In Japan, the timing of a birth is crucial for the
application deadline for admission into a licensed childcare facility which affects the
timing of a mother’s return to work. We find that an early return to work has a positive
effect on the mother’s likelihood of being in full-time employment in the long-term.