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Furloughing
Abi Adams-Prassl1, Teodora Boneva2, Marta Golin1
1University of Oxford.
Fiscal Studies
|December 28, 2020
Summary
During the COVID-19 pandemic, women were more likely to be furloughed in the UK, often due to care responsibilities. Many furloughed workers, especially men, continued working, and women received less salary top-ups.
Area of Science:
- Economics
- Sociology
- Labor Studies
Background:
- The coronavirus pandemic led to widespread job furloughs in the UK, impacting millions of workers.
- Understanding the characteristics and experiences of furloughed employees is crucial for economic recovery.
Purpose of the Study:
- To identify worker demographics most affected by furloughs.
- To analyze the terms and conditions under which workers were furloughed.
- To assess the future outlook and job-seeking behavior of furloughed individuals.
Main Methods:
- Utilized real-time survey data from the UK in April and May 2020.
- Analyzed factors influencing furlough decisions and terms.
- Compared characteristics and behaviors of furloughed versus non-furloughed employees.
Main Results:
- Women were significantly more likely to be furloughed, with care responsibilities playing a key role.
- Men were more likely to violate furlough rules by continuing to work.
- Women were less likely to receive salary top-ups beyond the government subsidy.
- Furloughed workers exhibited greater pessimism about job security and increased job search activity.
Conclusions:
- Gender and caregiving responsibilities significantly influenced furlough likelihood and decision-making.
- The design of short-time work schemes needs to address gendered impacts and worker well-being.
- Findings inform strategies for economic reopening and labor market stabilization.
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