Key takeaways

• Women earned about 85% of what men made per hour in 2024.
• Mothers face wage losses when they have children; fathers often see pay boosts.
• Fewer kids helped narrow the gender pay gap by roughly 8% from 1980 to 2018.
• When birth rates leveled off after 2000, progress toward equal pay also slowed.

Many Americans wonder why women still earn less than men. Yet recent research shows a link between smaller families and the narrowing gender pay gap. By exploring how parenthood affects pay, we can better grasp why progress stalled after 2000.

How a Smaller Family Can Affect the Gender Pay Gap

Over the past four decades, U.S. birth rates have dropped sharply. In 1980, most women had about three children by age forty. By 2000, that fell to under two. Since then, it stayed close to two. Meanwhile, women’s pay compared to men’s rose from 58% to 76%.

This change did not happen by chance. First, having fewer kids lets mothers stay in the workforce with fewer breaks. Second, smaller families help women build more work experience. Therefore, they gain more skills and can demand higher pay. Moreover, when women earn more, the gender pay gap shrinks faster.

Researchers found that changes in family size explain about 8% of the gender pay gap’s decline. In simple terms, fewer children helped women catch up. However, the gap did not close fully because other hurdles remain.

Why Motherhood and Fatherhood Matter for the Gender Pay Gap

Parenthood affects men and women in opposite ways. For example, when a woman becomes a mother, she often faces higher child care costs and more care duties. As a result, she may work fewer hours or take a lower-paying job. That reduces her hourly pay.

By contrast, when a man becomes a father, employers often view him as more stable or motivated. Thus, fathers may receive raises or promotions. In effect, motherhood widens the gender pay gap while fatherhood widens it further.

Furthermore, each additional child deepens this effect. A woman with three kids loses more in pay than a woman with one child. On the other hand, a father with multiple kids may see more benefits at work. Hence, fewer children mean smaller pay penalties for mothers and fewer special gains for fathers. This dynamic helps close the gender pay gap.

The Slowdown After 2000

The fastest drop in U.S. birth rates took place in the 1980s. During that decade, women’s pay relative to men rose quickly. Yet once families stabilized around two children, pay gains slowed too. Between 1990 and 2018, the gender pay gap narrowed, but at a much slower pace.

In other words, when birth rates fell rapidly, the gender pay gap improved rapidly. But as the average number of children leveled off, so did pay progress. Therefore, if birth rates stay low, the gender pay gap may shrink only slowly in the future.

What’s Ahead for the Gender Pay Gap

Scholars and policy makers now debate why Americans are having fewer kids today. Some cite economic pressures or shifting values. Others point to housing costs and child care shortages. Whatever the cause, any rise or fall in birth rates may impact how fast women reach pay equality.

However, changing family size does not guarantee equal pay. The key driver remains the unequal effect of parenthood on earnings. As long as mothers face pay penalties and fathers get pay boosts, the gender pay gap will persist.

Therefore, to close the gap faster, we need policies that support working parents. For instance, affordable child care and paid family leave can help mothers stay in their jobs. Likewise, encouraging fathers to take leave can balance caregiving duties. These steps can reduce the pay penalty for motherhood and slow the pay boost for fatherhood. Consequently, the gender pay gap would shrink more quickly, regardless of family size.

Frequently Asked Questions

What is the gender pay gap?

The gender pay gap is the difference in average hourly earnings between women and men. It shows how much less women earn for each hour of work.

How does having fewer children help close the gender pay gap?

Fewer kids mean women take fewer career breaks and earn more experience. As a result, they can demand higher pay and narrow the gap.

Will the gender pay gap close completely if birth rates keep falling?

Not necessarily. The pay gap depends on how parenthood affects wages. Even with fewer kids, unequal pay penalties for mothers would keep the gap open.

How can policy help close the gender pay gap?

Policies like paid family leave, affordable child care, and flexible schedules can reduce mothers’ pay penalties. Also, promoting equal caregiving for fathers can balance the gap.