Conference Paper
Encouraging Babies with Time Off: The Impact of Maternity Leaves Extensions on Fertility Decisions in Iran
No.
ERF32AC_25
Publisher
ERF
Date
May, 2026
Topic
J4. Particular Labor Markets
J1. Demographic Economics
In recent decades, Iran has witnessed a significant decline in its Total Fertility Rate, a trend that could pose substantial economic and social challenges in the future. In response, Iran’s policymakers have introduced various economic incentives to encourage couples to have more children. One notable initiative was the extension of maternity leave from six to nine months, implemented in 2013. This research examines the impact of this extended maternity leave on fertility decisions among employed women, using data from the Labor Force Surveys (LFS) and a difference-in-difference identification methodology. The findings reveal, while the extension did not significantly affect the childbirth probability among married working women aged 20 to 35, it led to a statistically significant increase in fertility among women aged 35 to 45, who are approaching the end of their childbearing ages. Furthermore, the most pronounced effects were observed among public sector employees in this age group.
Research Fellows
GholamReza K. Haddad
Associate Professor of Economics, Graduate School of...