This report is the result of IWPR’s research efforts to examine the employment situations of low-wage women workers and provide policy suggestions for improving their labor market outcomes. Using data from the U.S. Census Bureau’s Survey of Income and Program Participation (SIPP), the report analyzes factors related to job retention and job mobility among low-income mothers, with special focus on work supports such as employer-provided health insurance and child care support, as well as job characteristics. T

he study was made possible by financial support from the Joyce Foundation. The printing and dissemination of the report is supported by the Annie E. Casey Foundation.

Executive Summary

Since the 1996 welfare reform legislation, government support programs for low-income families have emphasized “work-first” strategies, viewing employment as the primary route to self-sufficiency. The employment situations of welfare leavers and other low-wage workers, however, show considerable instability. Most welfare leavers, for instance, find jobs, but many lose their jobs fairly quickly and experience a substantial period of unemployment before finding another job. While job changes can lead to improved earnings for some workers, this does not seem to be the case for most low-skilled workers or former welfare recipients. For these workers, job retention is crucial for accumulating work experience and improving earnings over time. Yet, for many low-wage workers or welfare leavers who are single mothers facing the dual responsibilities of work and family, sustaining employment and earning a living wage pose a tremendous challenge.

Building on prior research, this report examines factors related to job retention and labor market advancement among low-wage workers, and suggests effective policy strategies for improving their labor market outcomes. Using data from a national longitudinal survey, The Survey of Income and Program Participation, the report assesses the importance of various factors that facilitate or hinder job retention among low-income mothers.

It also investigates what happens when they leave a job: are they moving to a better job, and if so, what helps or hinders their move to a better-paying job? Since a majority of welfare leavers and low-wage workers are women, particularly single mothers, the study pays special attention to work supports that can be important for job stability among working mothers, such as employer-provided health insurance, child care subsidies, and child care arrangements. Other major factors considered in the study are: personal/family characteristics (race/ethnicity, education, marital status, health status, presence of young children, etc.) and job characteristics (full-time status, occupation, hourly wages, union membership, etc.). ...

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Keeping Moms on the Job:
The Impacts of Health Insurance and Child Care on Job Retention and Mobility among Low-Income Mothers

Sunhwa Lee, Ph.D.
IWPR No. C360
ISBN: 978-1-933161-12-9

Institute for Women’s Policy Research
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About the Institute for Women’s Policy Research

The Institute for Women’s Policy Research (IWPR) conducts rigorous research and disseminates its findings to address the needs of women, promote public dialogue, and strengthen families, communities, and societies. IWPR focuses on issues of poverty and welfare, employment and earnings, work and family, health and safety, and women’s civic and political participation.

IWPR’s work is supported by foundation grants, government grants and contracts, donations from individuals, and contributions from businesses and organizations. Members and affiliates of IWPR’s Information Network receive reports and information on a regular basis. IWPR is a 501(c)(3) tax-exempt organization that also works in affiliation with the women’s studies and public policy programs at The George Washington University.

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