Unintended Consequences of the Pension Reform: Labor Supply Changes Among Daughters of Extended-Career Mothers

Speaker: Bianca Balsimelli Ghelli (DEMB-UNIMORE)

Abstract
Leveraging the differential impact of a recent and unexpected Italian pension reform that raised the age requirements for accessing retirement benefits, this study analyzes the probability of working as well as the wage and employment dynamics of young women whose mothers were directly affected by the reform. The analysis is based on extensive Italian administrative data, and the results indicate that women whose mothers were impacted by the sudden increase in retirement age from 60 to 64 years work less and earn lower wages, particularly among those with low levels of education and income.