The Impact of School Disruptions during the COVID-19 Pandemic on Parental Labor Supply and Earnings in Australia

Nicolás Salamanca, Tanya Gupta, Irma Mooi-Reci and Mark Wooden

Journal of Labor Economics, 2026, vol. 44, issue S1, S161 - S182

Abstract: We estimate the impact of COVID-19 school disruptions on parental labor supply in Australia using newly collected data on local school closures, HILDA Survey data, and a difference-in-difference-in-differences design. We find no evidence that disruptions affected labor force participation or work hours among parents relative to childless adults. With 95% confidence, we rule out reductions in labor force participation exceeding 8% for mothers and 4% for fathers. This null result holds for nonessential workers and with an estimator robust to heterogeneous and dynamic treatment effects. Generous wage subsidies, widespread remote work, and short, localized disruptions may explain our findings.

Date: 2026
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