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The historic surge in employment among working mothers seen during the pandemic has reversed sharply in 2025, as new data reveal tens of thousands of American women, especially those with young children, leaving the workforce. According to federal labor statistics analyzed by the Washington Post, the labor force participation rate for women aged 25 to 44 with children under five fell nearly 3 percentage points between January and June 2025, reaching its lowest level in over three years.
Workforce trends and gender gaps
Fortune’s analysis integrates these workforce shifts with a broader view of corporate America’s changing priorities. Our coverage finds:
- While flexible and remote work previously enabled women—particularly mothers—to remain employed, return-to-office requirements have pushed many out, with CEOs openly acknowledging greater losses of female talent.
- Surveys show that women who work from home report less feedback and mentorship than their in-office peers, raising new barriers to career advancement.
- Mothers working remotely often face the “motherhood penalty”—less pay, fewer raises, and limited promotion prospects—while those forced back in person are sometimes left with only the option to quit.
- Despite a recent record in female workforce participation, the disappearance of flexibility risks lasting damage to women’s financial independence and retirement readiness.
Women flee the workforce
- Labor force participation of mothers with young children dropped from 69.7% to 66.9% between January and June 2025.
- 212,000 women aged 20 and older have left the workforce since January—compared to 44,000 men who joined it.
- Full-time office requirements among Fortune 500 firms rose to 24% in 2Q25, up from 13% at the end of 2024.
Flexibility vanishes, mothers exit
This pullback follows the widespread rollback of remote and flexible work policies that initially ushered many mothers back to the job market. Major corporations and the federal government have now instituted strict return-to-office mandates, requiring five-day-a-week in-person attendance. For many mothers, the loss of flexibility means a logistical and financial reckoning. J.P. Morgan, AT&T, and Amazon, among others, ramped up their in-office requirements in 2025, with Fortune reporting that the share of Fortune 500 companies with full-time mandates nearly doubled since late 2024
Employers report difficulty replacing departed female talent, with overall productivity suffering as a result.
Childcare costs and cultural shifts bring complications
Compounding these changes are rising childcare costs, closures of childcare centers due to lapsing federal aid, and a noticeable trend toward traditional gender roles. Social media movements like #tradwife encourage women to prioritize home and children, amplified by calls from political leaders for more parents to stay home.
For many families facing unaffordable childcare, the decision is an economic necessity rather than a cultural choice. Black women and those with college degrees have been hit especially hard. The unemployment rate for Black women climbed to its highest in nearly four years; federal layoffs and the dismantling of diversity initiatives eliminated stable jobs that disproportionately supported minority women.
Why it matters
Experts interviewed by both the Washington Post and Fortune warn these trends, if left unchecked, will have “huge implications” for women’s lifetime earnings, career prospects, and retirement security. With breaks in employment history, women frequently return to lower-paying jobs and face diminished opportunities for advancement.
Studies, including a 2024 University of Pittsburgh analysis, similarly show that aggressive return-to-office mandates have led to a loss of senior employees—many of them women—threatening productivity and competitiveness.
For this story, Fortune used generative AI to help with an initial draft. An editor verified the accuracy of the information before publishing.
This story was originally featured on Fortune.com
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