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Good practice Imported

2016 Reduced Working-Hours Law for Working Mothers — A Documented Policy Backfire

Iran · Tehran · See the Iran profile · See the Tehran profile

Evidence: Quasi-experimental Top 85% 26/100 · Ask Evidence Copilot about this practice

Iran's July 2016 law cut paid working hours for mothers of young children from 44 to 36 a week, intended to help working mothers; independent HRW and peer-reviewed World Bank-affiliated research found it instead reduced employers' willingness to hire or retain the targeted women.

14.9 %
Female labour-force participation rate (Mar 2016-Mar 2017)
64.1 %
Male labour-force participation rate (Mar 2016-Mar 2017)
20.7 %
Female unemployment rate (Mar 2016-Mar 2017)
~47,000 of 145,000 (about one-third)
Women on legal maternity leave subsequently terminated by their employer
19 %
Female labour-force participation rate (World Bank series) (2016)
13.4 %
Female labour-force participation rate (World Bank series) (2024)
34 minutes
Average reduction in actual weekly working hours attributable to the reform

Details

Maturity
Established
Promoter
Government of Iran (Ministry of Cooperatives, Labour and Social Welfare)
Period
2016–2024
Keywords
labour market policy, employment law, economic policy, cautionary case

Context

In July 2016, Iran enacted a law reducing the standard 44-hour working week to 36 hours, on full pay, for mothers of young children and female heads of household, intended as a family-friendly protection for working mothers. It was introduced against a backdrop of stark gender gaps in Iran's labour market — women make up over half of university graduates but only around 17% of the workforce, and a May 2015 public-sector hiring exam restricted more than 80% of positions to men.

Objectives

The reform's stated aim was to protect and support working mothers and female heads of household by reducing their working hours without loss of pay.

Results

Human Rights Watch's 2017 investigation, based on 44 interviews and official Iranian labour statistics, found female labour-force participation of just 14.9% (versus 64.1% for men) in the year after the law, with female unemployment at 20.7% — double the male rate. Iran's Social Security Organization reported that around 47,000 of 145,000 women (roughly one-third) who took legal maternity leave were subsequently terminated by their employers, and World Bank data show female labour-force participation falling further, from 19% in 2016 to 13.4% in 2024. A peer-reviewed study (Chen & Ebadi, Journal of Development Economics, building on a World Bank working paper) found the reform reduced actual weekly hours by only about 34 minutes on average, while causing employers to reduce hiring and retention of the very women it was meant to protect.

Conclusions

Regulating hours without addressing hiring and firing incentives appears to have worsened outcomes for the targeted group — a documented policy backfire. Iran-related labour statistics are politically contested and government-sourced figures should be treated with appropriate caution; the peer-reviewed academic study is weighted as the most methodologically rigorous evidence, and this entry is included as a cautionary case rather than a model practice.

Implementation

Indicative cost
Low (< €50k)
Time to results
Long (> 3 years) — Law enacted July 2016; World Bank participation data and the peer-reviewed causal study track effects through 2024, indicating the law's adverse effects on the targeted group persisted for at least eight years.
Staffing & skills
Government of Iran, Ministry of Cooperatives, Labour and Social Welfare (law's implementing body), Iran's Social Security Organization (maternity-leave and termination data)

Conditions for success

  • would likely require complementary measures addressing employer hiring and firing incentives, not hours regulation alone, to avoid adverse effects on the targeted group

Common failure modes

  • regulating weekly hours (the intensive margin) without addressing hiring and firing incentives (the extensive margin) gave employers reason to avoid hiring or retaining eligible women, per the peer-reviewed Chen & Ebadi study
  • Iran's Social Security Organization data indicate about one-third of women who took legal maternity leave were subsequently terminated by their employers
  • female labour-force participation continued to decline after the law, from 19% (2016) to 13.4% (2024) per World Bank data
  • Iran-related labour statistics are politically contested and government-sourced figures should be treated with caution

Where it fits

Governance type
centralised state labour regulation (non-democratic)
Scale
national
Income level
upper-middle-income, sanctions-affected economy

Commonly funded by

National / regional programmes

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Data sources

Where this practice's information was retrieved from, and when.

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