Summary: Weaker labor market for mothers of young children with uneven industry shifts
Matthew Nestler, PhD, Senior Economist at KPMG
June 24, 2026
Key Takeaway: The labor market has weakened for mothers of young children since late 2023, even though overall prime-age women’s labor force participation remains near record highs. The strain is most pronounced among college-educated mothers, who are working and participating at lower rates, while unemployment has increased.
What the data show
College-educated mothers have experienced the sharpest decline. Since late 2023, employment and labor force participation have fallen while unemployment has risen, indicating that many remain attached to the labor market but are not finding work
Industry shifts are uneven. BA+ mothers have lost ground in healthcare and social assistance and educational services, while seeing gains in public administration and leisure and hospitality.
Mothers without a BA are also facing weaker conditions. Their employment losses are concentrated in retail, educational services, and professional and business services, with gains in healthcare and construction.
Why it matters: The healthcare sector highlights a broader labor market shift. Employment in healthcare and social assistance has declined for college-educated mothers but increased for mothers without a BA, aligning with growth in lower-paying roles such as home health and personal care aides. This suggests that headline job growth may mask changes in job quality, pay, and career pathways.
Bottom line: Strong aggregate labor market indicators can obscure meaningful strain for parents with young children. For employers, policymakers, and workforce planners, the priority is not only creating jobs but designing roles that align with caregiving responsibilities, predictable scheduling needs, adequate compensation, and opportunities for advancement.
Read the full article:
https://www.linkedin.com/pulse/weaker-labor-market-mothers-young-children-uneven-nestler-phd-q6gqc/
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