Paid parental leave doesn't strain most employers, survey finds
A survey of employers in four states without public-sponsored leave programs found that 55% of employers reported no additional costs from offering it.
A new survey conducted by economist Emily Oster and advocacy group Healthy Moms, Healthy Babies America reveals that most employers in Arkansas, Illinois, Mississippi, and Nebraska view paid parental leave as manageable, not a financial burden. The study found that 55% of surveyed employers reported no additional costs from offering the leave, while 77% said existing staff handled the new parent's workload.
Oster, CEO of ParentData, noted that "this data suggests it is far more manageable for employers than many people fear." However, 17% of employers polled indicated that parental leave created significant financial strain, though the study did not define the duration of the leave or examine potential retention effects on other employees.
Oster recommends tax credits to encourage employer participation and increased public awareness of the survey's findings, particularly among small businesses. The push for paid leave research is part of a campaign to cut the US maternal mortality rate by half within five years, backed by Healthy Moms, Healthy Babies' $100 million investment.
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