Remote Work and Women's Labor Supply: The New Gender Division at Home

Abstract: We study how increases in remote work opportunities for men affect their spouses' labor supply. Exploiting variation in the change in work-from-home (WFH) exposure across occupations before and after the COVID-19 pandemic, we find that women whose husbands experienced larger WFH increases are over 2 percentage points more likely to be employed, equivalent to a 4% rise relative to pre-pandemic levels. Evidence from time-use diaries and childcare questionnaires suggests these effects are driven by intra-household reallocation of child-caring time: women are less likely to engage in primary childcare activities, while men working at home partially compensate by covering more for their spouse. These results highlight the role of intra-household spillovers and bargaining in shaping the labor market consequences of remote work.