The COVID-19 recession will widen the gender pay gap — but there might be a silver lining

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'A pandemic recession erodes women’s position in the labor market.' But in the long-term future, a new study found, a pandemic recession can actually decrease labor-market gender gaps when men assume more child-caring responsibilities.

COVID-19’s disproportionate economic toll on women could create a larger gender wage gap during and immediately after this downturn, suggests a new study. But the so-called she-cession could also fuel changes that decrease gender inequality in the long run, the analysis adds.

“ ‘In the short and medium term, a pandemic recession erodes women’s position in the labor market, first through direct employment losses, and later through the loss in labor market experience brought about by low employment during the recession.’ ” Typical recessions moderately decrease the gender wage disparity since they tend to have a greater impact on men, the NBER study said. While normal recessions close the gender wage gap by 2 percentage points, though, a pandemic recession widens the gap by 5 percentage points.

They point to the rise in husbands serving as primary child-care providers, as well as an increase in the amount of time fathers spend on child-care duties in a pandemic recession; these two factors, they say, will “erode social norms that underlie the unequal distribution of childcare between women and men, thus increasing the share of ‘modern’ couples with egalitarian social norms.”

 

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