Babies make dads richer and mums poorer

Baby

Having children means that women earn less over the course of their careers while men earn more, researchers say.

According to analysis by the Institute for Public Policy Research (IPPR), others suffer a pay penalty with incomes up to 14 percent less than women who do not have children, while fathers win a pay bonus as their salaries are likely to be up to 19 percent higher than men who do not have children.

Although women have made substantial progress in the workplace over the past 30 years, with the gender pay gap between men and women in their 20s having almost disappeared, the study shows that having children can set women back professionally.

It also suggests that younger women who give birth earlier will pay more of a penalty than those born a decade previously, the Telegraph reported.

The IPPR believes that men who become fathers increase their earning capacity because they feel a greater responsibility towards being a breadwinner for their families and compensating, and in some cases for their partners' reduced earnings.

Many employers are said to value fatherhood because it is thought to make male staff more responsible and loyal putting them at the top of the queue for promotions.

For the study, the IPPR analysed two cohorts of men and women - born in 1958 and 1970. Mothers born in 1958 earned on average 14 percent less by the time whey were 40 than childless women born in the same year.

Mothers born in 1970 typically earned 11 per cent less than their childless female colleagues by the time they reached their late 30s.

The research showed that historic inequalities in pay between the sexes meant that a mother born in 1958 could expect to earn 32 percent less by the time she was 40 than a father born in the same year.

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