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Wage gap widens for German mothers as post-birth income drops sharply

by admin October 24, 2025
October 24, 2025

The income loss for German women after childbirth is far more severe than earlier thought, as per a Reuters report that stated a new study the Leibniz Centre for European Economic Research (ZEW) and Tilburg University.

Four years after giving birth, mothers earn nearly €30,000 less than women without children — a finding that underscores how motherhood continues to affect women’s financial stability and career growth.

Earlier estimates had put the loss at around €20,000, but the new data reveals that the wage penalty linked to motherhood is much deeper and more complex.

Younger mothers face steeper career setbacks

The study, which analysed data from 186,000 mothers, shows that the economic impact of childbirth varies significantly depending on when a woman becomes a mother.

Those who have their first child before turning 30 experience the sharpest professional and financial declines. The researchers explain that younger mothers often miss out on critical early career years when wage growth and promotions are most rapid.

Missing this “formative phase” not only delays their progression but also has lasting effects on lifetime earnings.

By contrast, women who become mothers later in life typically have more established careers, with higher salaries and more stable employment before taking maternity leave.

While their income may drop in absolute terms due to reduced working hours, they are better positioned to return to the workforce and recover professionally over time.

Motherhood penalty persists despite policy support

The research highlights a persistent motherhood penalty that remains deeply rooted in Germany’s labour market, despite extensive family policies such as parental leave benefits and childcare support.

According to the findings, the gender pay gap widens significantly after childbirth, with mothers continuing to earn far less than fathers or childless women years after giving birth.

Part of the problem, the report notes, stems from part-time work patterns.

Many mothers, particularly those with young children, opt for part-time jobs or career breaks to balance family duties — a choice that often results in slower wage growth and limited opportunities for advancement.

Even when they return to full-time positions, their salaries tend to lag behind those of their male counterparts and childless peers.

Structural and cultural factors deepen inequality

Germany’s long-standing traditions around family and work also play a role in perpetuating this income gap.

Although childcare availability has improved in recent years, social expectations still often place the burden of caregiving on women.

The ZEW study’s findings suggest that structural reforms alone — such as extending childcare hours or parental leave — may not be enough to close the gap unless accompanied by broader cultural changes that normalise shared caregiving responsibilities.

Researchers also found that employers may view women in their 20s and early 30s as higher “maternal risk,” affecting hiring and promotion decisions. These biases can limit women’s access to high-paying roles even before they have children, amplifying inequality over time.

Broader implications for workforce equality

The data from ZEW and Tilburg University adds to growing evidence that motherhood remains a defining factor in gender income inequality.

As policymakers across Europe push for higher female labour participation to offset ageing populations, understanding and addressing the hidden economic costs of motherhood will be crucial.

Experts suggest that companies and governments could help mitigate these losses by creating more flexible work options, promoting equal parental leave between men and women, and ensuring smoother reintegration into the workforce for new mothers.

Without such measures, the long-term wage gap could discourage young women from starting families or pursuing full-time careers — a challenge with both social and economic consequences.

The post Wage gap widens for German mothers as post-birth income drops sharply appeared first on Invezz

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