Abstract
This thesis studies how the post-pandemic expansion of working from home (WFH) reshaped labour supply, occupational sorting, and household labour market outcomes, with a particular focus on married women. Combining empirical analysis, theory, and causal evidence, the thesis argues that remote work operates as a non-wage job amenity that relaxes household time and coordination constraints, thereby altering both labour supply decisions and wage dynamics within couples.
Chapter 1 documents five novel stylized facts characterizing the U.S. post-pandemic labour market. Using CPS and ATUS data, it shows an unprecedented rise in married women’s labour force participation, a reallocation toward highly teleworkable occupations, an acceleration in transitions from part-time to full-time work, an increase in married men’s home-production time, and a gendered compression of the wage distribution. Importantly, the participation boom occurs despite stagnant real wages, suggesting that factors beyond wage incentives drove labour supply adjustments.
Chapter 2 develops a model of couples’ labour supply with job amenities, where WFH increases the flexibility value of employment. The framework shows how teleworking can raise married women’s participation and hours worked by lowering the effective cost of market work and improving intra-household coordination. At the same time, the framework highlights the possibility of a “flexibility trap,” whereby women accept lower wages in exchange for flexibility.
Chapter 3 provides empirical evidence on the effect of WFH on actual and desired working hours using German SOEP data and an instrumental-variable strategy based on pre-pandemic telework feasibility. The results reveal strong gender asymmetries: WFH significantly increases both actual and desired hours for women, particularly among married women and mothers, supporting a flexibility channel proposed throughout the thesis.