Marginalising Women in the Labour Market: 'Wage Scarring' Effects of Part-time Work

Abstract

Australian women are encouraged to use part-time work to alleviate work and family imbalance. Accordingly, part-time work enabling women to maintain attachment to their career, to acquire human capital, and to add to their salaries is integral to a family-friendly society. UK research fi nds that rather than advance careers, part-time work experience is associated with a reduction in earnings. This paper reports on the fi rst Australian attempt to undertake analogous analysis. Using the Negotiating the Life Course data, the only large-sample Australian data set containing information on earnings and part-time and full-time work experience, we fi nd that part-time work experience does not lead to financial rewards in full-time jobs. In fact part-time work generally impinges on wage growth. We advocate for policies that facilitate movement between part-time and full-time hours in the same job, the equivalent treatment of part-time and full-time workers, and family-friendly jobs, regardless of hours worked.