Childcare Access and the Allocation of Female Human Capital Across Firms
We study how relaxing childcare-related constraints affects the allocation of female human capital across firms. Using linked family-employee-employer tax filing data and cohort-level variation in exposure to Quebec’s universal childcare reform, we show that earlier access to childcare induces new mothers to reallocate toward firms where they were previously underrepresented—firms with more demanding hours, higher risk, and higher pay. The effect is mainly driven by the relaxation of childcare-related time constraints as opposed to financial constraints. This reallocation reduces gender segmentation across firms and improves the performance of the firms mothers join. Our results suggest that expanding childcare access improves worker-firm matching and firms’ access to productive talent.
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Copy CitationElena Simintzi, Sheng-Jun Xu, and Ting Xu, "Childcare Access and the Allocation of Female Human Capital Across Firms," NBER Working Paper 33835 (2025), https://doi.org/10.3386/w33835.Download Citation
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