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Testing the Differential Impact of COVID-19 on Self-Employed Women and Men in the United Kingdom

Author

Listed:
  • Reuschke, Darja

    (University of St. Andrews)

  • Henley, Andrew

    (Cardiff University)

  • Daniel, Elizabeth

    (The Open University)

  • Price, Victoria

    (University of Southampton)

Abstract

This paper investigates whether the female self-employed are more affected by the COVID-19 crisis than the male self-employed using longitudinal data four months following the first 'lockdown' in the UK. We specifically test the role of family/social, economic and psychological factors on gendered differential impact. We find that self-employment exits are not gendered but women are more likely to experience reductions in hours worked and earnings. This greater adverse impact on women's working hours and earnings is despite family responsibilities and home-schooling, industrial gender segregation and women's greater propensity to run a non-employing business and to work part-time. However, lower attitude to risk in women is associated with lower risk of reduction in earnings. Policy needs to look beyond business exits when considering crisis support for the self-employed.

Suggested Citation

  • Reuschke, Darja & Henley, Andrew & Daniel, Elizabeth & Price, Victoria, 2021. "Testing the Differential Impact of COVID-19 on Self-Employed Women and Men in the United Kingdom," IZA Discussion Papers 14216, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp14216
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    References listed on IDEAS

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    Cited by:

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    2. Oluwasheyi Oladipo & Katarzyna Platt & Hyoung Suk Shim, 2023. "Female entrepreneurs managing from home," Small Business Economics, Springer, vol. 61(2), pages 447-464, August.

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    More about this item

    Keywords

    entrepreneurship; self-employment; COVID-19; gender; labour supply;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship

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