The Paternity Leave Act in Iceland: implications for gender equality in the labour market

Abstract

The Icelandic Act on Maternity/Paternity and Parental Leave (2000) introduced some major changes. The leave was extended from 6 to 9 months, and parents who were active in the labour market were paid 80% of their average salaries during the leave. The 9 months' leave was distributed so that mothers could take 3 months' leave, fathers could take 3 months' leave and the remaining 3 months could be shared by the mother or father in any manner that the parents saw fit. Using information and data from the Althingi and Statice, this article discusses the new legislation and the implications of such a policy in reducing gender inequality in the Icelandic labour market.

Notes

¹Althingi transcript (2000a).

²Gislason (2007), Althingi, Law nr. 95 (2000b).

³US $1 is around 65 ISK.

⁴Althingi, Law nr. 95 (2000b).

⁵Althingi, Law nr. 95 (2000b).

⁶Not actual number; 14 days was the maximum number of days a father had the independent right to take between 1998 and 2000.

⁸Not adjusted for any variable.

⁹Statice (2006) – Statice is the National Statistical Institute of Iceland. http://www.Statice.is.

⁷Virding Rettlaeti (VR) is the second largest union in Iceland with around 25 000 members. VR does numerous labour market studies each year and publishes for its member and the general public.