The Labor Market Returns to Delaying Pregnancy

Yana Gallen, Juanna Schrøter Joensen, Eva Rye Johansen, Gregory F. Veramendi and Juanna Schrøter Joensen

No 12586, CESifo Working Paper Series from CESifo

Abstract: We study the labor market impact of unplanned pregnancy among women using long-acting reversible contraceptives to delay pregnancy. While most women successfully delay, some have unplanned pregnancies, providing quasi-random variation in pregnancy timing. Analyzing linked health and labor market data from Sweden, we find that unplanned pregnancies halt women's career progression, resulting in income losses of 19% five years later. We find similar effects of unplanned births among women using short-acting reversible contraceptives. Using pregnancy as an instrument for birth in a dynamic treatment effect framework, effects of unplanned children are more detrimental for younger women and those enrolled in education.

Keywords: labor market costs of motherhood; fertility; contraceptives; unplanned pregnancy (search for similar items in EconPapers)
JEL-codes: J13 J22 J24 J31 (search for similar items in EconPapers)
Date: 2026
New Economics Papers: this item is included in nep-lma
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