Comparing the gender gap in gross and base wages

2017 ◽  
Vol 38 (5) ◽  
pp. 646-660 ◽  
Author(s):  
Maria J. Perez-Villadoniga ◽  
Ana Rodriguez-Alvarez

Purpose The purpose of this paper is to examine the gender wage gap not only in gross wages, but also focussing on a specific salary component, the base wage, which is determined by collective bargaining for each occupational category. Design/methodology/approach The authors estimate a wage frontier to analyze the difference between workers’ observed wages and their potential wage, given human capital endowments, as well as firm characteristics. Next, the authors examine the distance to the frontier as a function of workers’ gender, in order to test whether women fail to achieve potential wages to any great extent. To do so, the authors use data from the 2010 Spanish Structure of Earnings Survey. Findings While men nearly achieve their potential base wage, females are systematically and significantly below the wage frontier (93 per cent on average). In other words, even when the authors limit the analysis to the base wage, the authors still find a significant wage differential between men and women. A detailed analysis of this result points to the existence of occupational segregation in the labour market. Within each occupational category, females tend to be concentrated in the lower ranking jobs, which entail lower wages. This result is consistent with the existence of a sticky floors phenomenon. Originality/value The authors contribute to the literature on gender discrimination that focusses on specific wage components. As far as the authors know, to date this is the first analysis to focus on a component that responds more to the characteristics of the job rather than to those of the worker.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nguyen Hoang Oanh ◽  
Nguyen Hong Ngoc

PurposeThis paper investigates the extent, the determinants and the change in the gender pay gap in Vietnam in the period 2010–2016 in order to provide suggestions for policy adjustment to narrow gender pay inequality more effectively.Design/methodology/approachThis study employs the propensity score matching (PSM) method to examine inequality in pay between female and male earners sharing identical characteristics. The analysis is conducted for both the full sample and various characteristic-based subsamples. This procedure is conducted for 2010 and 2016 separately to discover the change in gap and inequality during this period.FindingsThe matching results based on the data sets taken from the Vietnam Household Living Standards Survey (VHLSS) 2010 and 2016 affirm that gender income inequality in Vietnam, though persisted, decreased significantly in 2016 compared to 2010, and was insignificant in many subsamples in 2016. In addition to the observable determinants including educational level, occupation, economic sector and industry, unobservable factors are proved to also play an important role in creating the gender pay gap in Vietnam.Practical implicationsThe research findings suggest that policies aimed at mitigating gender pay inequality should take into account both observable characteristics and unobservable factors such as unobservable gender differences that affect wages and gender discrimination in pay.Originality/valueThis is the first study using a matching technique to investigate gender wage gap in Vietnam. With up-to-date data, longer research period and the superiority of the method used in dealing with sample selection bias, the results obtained are more robust, more detailed and reliable.


2021 ◽  
pp. 399-410
Author(s):  
Hitesh N. Jagani ◽  
Nasheman Bandookwala

Gender discrimination has been persistent across globe and it is more identified in terms of wage differential. Such discrimination is more striking in developing countries and further more among social groups. Though many countries have passed minimum wage laws and laws mandating equal treatment of women at workplace, gender wage differential remains a perennial feature of labor markets across globe. Among BRIC nation India depicts highest wage discrimination between sexes (Rema Nagarajan TNN March 2011). This fact was reveled also in the Global Gender Gap Report of 2010 as well. The recent survey by the World Economic Forum (WEF) points out the Indian situation, ranking India among the bottom 10 countries in the world in terms of women’s participation in the economy. The World Economic Forum’s Global Gender Gap Report 2020 says Of the 153 countries studied in the report, India ranks 112th on the overall Global Gender Gap Index with the index value of (0.068). The overall gender gap as though has narrowed the pay gaps have widen and it will take 257 more years i.e by year 2257 pay equity will be established. India has shown disappointing performance in women work participation rate (WPR), pushing the country among the bottom 10 countries on the WEF list. The country ranks 149th among 153 countries in economic participation. Overall, in terms of gender equality India achieves a score of 59.4%, but in terms of economic participation and opportunity, it scores 39.8% which is dismal. The present study is an attempt to analyze the wage differential across selected states of India. The wages for agriculture and non agriculture workers for sexes is considered. The attempt has been made to evaluate wage differential across selected states of India and inequality therein has been calculated. The descriptive statistical tools like arithmetic mean and standard deviation has been used to ameliorate understanding. The pay parity Index has also been calculated The overall observation from the study widens understanding about pay pattern in India – and discriminating dimension therein. Across occupation unequal pay prevails in regards to sexes with males being paid more than women for the equal jobs. Disparity among agricultural Towards Excellence: An Indexed, Refereed & Peer Reviewed Journal of Higher Education / Dr. Hitesh Jagani & Dr. Nasheman Bandookwala / Page 399-410 March, 2021. VOL.13. ISSUE NO. 1 https://hrdc.gujaratuniversity.ac.in/Publication Page | 400 workers is highest at Kerala- female agricultural workers are paid 29% less than males. On other hand in Himachal Pradesh male agricultural worker is paid 5% less than females. For non agricultural workers Tamil Nadu exhibits high incidence of inequality with female workers being paid 32% less than males. Gujarat comparatively depicts a better scenario with average female payments being more in non agricultural sector as though in agriculture sector disparity prevails.


2019 ◽  
Vol 40 (2) ◽  
pp. 178-189
Author(s):  
Jing Wang ◽  
Morley Gunderson

Purpose The purpose of this paper is to estimate the relative importance of gender discrimination and differences in household responsibilities as determinants of the male–female pay gap. Design/methodology/approach It parses out the relative importance of those two factors by using the pay between gay men vs lesbian women as a comparison group that should reflect only gender discrimination. Subtracting the pay gap between gay men and lesbians (reflecting only gender discrimination) from the male–female pay gap for their heterosexual counterparts (reflecting both gender discrimination and household responsibilities) provides evidence of the relative importance of gender discrimination and household responsibilities in explaining the male–female pay gap. Findings The results show that essentially all of the male–female pay gap is attributed to differences in household responsibilities. Originality/value This paper advances the literature of gender wage gap by using a novel comparison group – gay men vs lesbian women – to estimate the relative importance of gender discrimination and differences in household responsibilities as determinants of the male–female pay gap.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Louise Patterson ◽  
Damodharan Sowmya Varadarajan ◽  
Beena Saji Salim

Purpose The purpose of this paper is to conduct a meta-analysis of existing research on gender discrimination/gender gap and women in Science, Technology, Engineering and Mathematics (STEM) in the UAE, specifically, and Middle East and North Africa (MENA) and Gulf Cooperation Council (GCC) countries in general because of very limited number of articles published on the subject. It will give future researchers insights into the topics, methodologies and findings of such research from 1999–2019. Design/methodology/approach This study conducts a meta-analysis of 72 articles using the Wildcard operator search method and the Boolean operator to perform an integrative literature search related to gender discrimination studies done in relationship to or specific to the UAE. Findings In total, 88 papers related to the UAE and gender gap and women were identified. The articles were narrowed down to the ones published in high-ranked or Scopus journals (72). The findings suggest a decreasing trend in gender discrimination, but the issue still persists, requiring efforts from policy-makers, society and government to ensure gender parity is achieved. Academic research on women in STEM/SET workplace, specific to the UAE and the region, continue to slowly advance, with very few articles published in the same. Practical implications The study provides insights into gender gap research done in the past ten years specific to the UAE national women and gender gap in general and their career choices and prospects in the STEM/SET domain. Social implications There is a need to focus research on Emirati women in STEM careers to develop more insights into gender gap perceptions of Emirati women and identify challenges and methods to close the gender gap in STEM careers. Originality/value This paper brings a holistic perspective to the meta-analysis of research on the gender gap and women in the UAE’s STEM domain.


2016 ◽  
Vol 43 (5) ◽  
pp. 801-814 ◽  
Author(s):  
Wenjun Liu ◽  
Tomokazu Nomura ◽  
Shoji Nishijima

Purpose This paper investigates discrimination against women within the Brazilian labour market using firm-level data from the World Bank Investment Climate Survey. The purpose of this paper is to determine whether the female employees in the Brazilian labour market are paid less than their productivity warrants due to the existence of discrimination. Design/methodology/approach Based on employer discrimination model proposed by Becker (1971) that considered the proportion of female employees as a proxy for the extent of discrimination, the authors estimate the profit function using OLS analysis, and regress it on the proportion of female employees and other firm characteristics. To address the endogeneity problem caused by unobservable productivity shocks, the authors employed the methods proposed by Olley and Pakes (1996) and Levinsohn and Petrin (2003), respectively. Findings The results indicate that the proportion of female employees has positive effect on firms’ profit in 2002, but has no effect in 2007. This finding gives evidence of the existence of discrimination against female employees within the Brazilian labour market in the early 2000s, while the gender discrimination was reduced overtime. Originality/value This paper’s main contribution is to provide an approach that differs from that of previous research to determine whether discrimination exists within the Brazilian labour market. This paper also provides policy insights for Brazilian labour market.


2015 ◽  
Vol 34 (8) ◽  
pp. 666-677 ◽  
Author(s):  
Paula Mulinari

Purpose – The purpose of this paper is to analyse the different ways in which experiences of marginalisation within organisations are named and acted upon. Of particular interest is examining the ways in which the visibility of gender discrimination and the invisibility of ethnic discrimination indicate what the professionals in the study identify as horizons of possible individual and collective resistance. Design/methodology/approach – The paper takes as its point of departure Cho et al. (2013) notion of “intersectionality as an analytical sensibility” (p. 795). The material consists of qualitative semi-structured interviews with 15 chief medical doctors employed in two Swedish hospitals. Findings – The findings indicate that while there is an organisational visibility of gender inequality, there is an organisational invisibility of ethnic discrimination. These differences influence the ways in which organisational criticism takes place and inequalities are challenged. Female Swedish identified doctors acted collectively to challenge organisations that they considered male-dominated, while doctors with experience of migration (both female and male) placed more responsibility on themselves and established individual strategies such as working more or des-identification. However, they confronted the organisation by naming ethnic discrimination in a context of organisational silence. Research limitations/implications – The paper does not explore the different forms of racism (islamophobia, racism against blacks, anti-Semitism). In addition, further research is needed to understand how these various forms of racism shape workplaces in Sweden. Originality/value – The paper offers new insights into the difference/similarities between how processes of ethnic and gender discrimination are experienced among employees within high-status professions. The value of the paper lies in its special focus on how forms of resistance are affected by the frames of the organisation. The findings stress the importance of intersectional analyses to understand the complex patterns of resistance and consent emerging within organisations.


2021 ◽  
Vol 10 (1) ◽  
Author(s):  
Maria Amparo Cruz Saco ◽  
Mirian Gil ◽  
Cynthia Campos

Using annual household surveys from 2004 to 2019, we examine the existence of a gender labor income gap among older persons in Peru. Two labor income models are estimated: Model 1 uses a basic set of demographic, socioeconomic, and personal characteristics as regressors (also called endowments); Model 2 uses the basic set plus additional personal characteristics. The Misner‐type relationship holds with positive returns for education and experience, and the anticipated association to the endowments. The Oaxaca‐Blinder decomposition yields an explained labor income gender gap of 44.4% (Model 1) and 51.5% (Model 2), i.e., controlling for endowments, approximately one half of the labor income difference remains unexplained and can be attributed to discrimination and labor segregation. In light of these results, we estimate Model 3 with two additional variables (head of household and beneficiary of intergenerational private transfer) which attempt to capture gendered stereotypes. With these two variables which provide information on gender discrimination the explained labor income gap for Model 3 is 71.1%—an increase of 19.6%. The unexplained component of the difference in labor income amounts to 28.8% that we attribute to unobserved variables that operate as post‐labor market elements in patriarchal societies. Results show that gender inequity during a woman’s life‐span manifests acutely among older women, which raises important implications for policy interventions.


2016 ◽  
Vol 8 (1) ◽  
pp. 2-15 ◽  
Author(s):  
Mohammad Tariqul Islam Khan ◽  
Siow-Hooi Tan ◽  
Lee-Lee Chong

Purpose – This paper aims to study gender differences in preferences for firm characteristics across various groups of investors in Malaysia. Design/methodology/approach – Self-declared preferences are elicited through a survey of 520 investors comprising retail, financial professionals and institutional investors in the Malaysian stock market. Non-parametric (Mann-Whitney and Kruskal-Wallis) tests are computed to achieve the stated objective. Findings – Results reveal that female investors display higher preferences for the liquidity of a firm, dividend payments, trading volume of a firm, stock price and firm’s age than male investors across investor’s groups. Research limitations/implications – Findings imply that the gender gap in investing behaviour can be partly attributed to gender differences in preferences for firm characteristics. Practical/implications – The findings suggest that the gender gap can be mitigated by giving more priority to the choices of female investors with respect to firm characteristics. In turn, this may reduce a part of the gender gap in investing. Moreover, the findings would assist companies to understand and know how their shareholder’s preferences vary with respect to gender and investor’s groups. Originality/value – This paper provides evidence concerning the gender gap in investor’s self-declared preferences for firm characteristics across retail, financial professionals and institutional investors in Malaysia, which complements previous studies that used equity holdings data and only two groups of investors.


2014 ◽  
Vol 19 (4) ◽  
pp. 404-425 ◽  
Author(s):  
Linda Schweitzer ◽  
Sean Lyons ◽  
Lisa K.J. Kuron ◽  
Eddy S.W. Ng

Purpose – The purpose of this paper is to investigate the gender gap in pre-career salary expectations. Five major explanations are tested to explain the gap, as well as understand the relative contribution of each explanation. Design/methodology/approach – Data were collected from 452 post-secondary students from Canada. Findings – Young women had lower initial and peak salary expectations than their male counterparts. The gap in peak salary could be explained by initial salary expectations, beta values, the interaction between beta values and gender, and estimations of the value of the labor market. Men and women in this study expected to earn a considerably larger peak salary than they expected for others. Research limitations/implications – Cross-sectional data cannot infer causality, and the Canadian sample may not be generalizable to other countries given that an economic downturn occurred at time of data collection. Research should continue to investigate how individuals establish initial salary expectations, while also testing more dynamic models given the interaction effect found in terms of gender and work values in explaining salary expectations. Practical implications – The majority of the gender gap in peak salary expectations can be explained by what men and women expect to earn immediately after graduation. Further, women and men have different perceptions of the value they attribute to the labor market and what might be a fair wage, especially when considering beta work values. Social implications – The data suggests that the gender-wage gap is likely to continue and that both young men and women would benefit from greater education and information with respect to the labor market and what they can reasonably expect to earn, not just initially, but from a long-term perspective. Originality/value – This study is the first to simultaneously investigate five theoretical explanations for the gender gap in pre-career expectations.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tushar Agrawal

PurposeThe purpose of this paper is to examine the interrelation between two important dimensions of gender segregation: education and occupation. It further investigates the gender wage gap.Design/methodology/approachThe author uses a three-way additive decomposition of the mutual information index – an index based on the concept of entropy. A non-parametric wage decomposition method that uses matching comparisons is used for measuring the wage gap.FindingsThe results show that the extent of gender segregation in India is higher in urban areas than that in rural areas. Most of the observed segregation in rural labour markets originates from educational outcomes, whereas in urban markets it is due to occupational profile of individuals. The findings of the wage decomposition analysis suggest that education in rural areas also explains a sizeable part of the gender wage differential. Nevertheless, a large share of the wage gap remains unexplained in both rural and urban areas.Originality/valueWhile much research has looked at occupational segregation, less attention has been paid to educational segregation. The paper uses a unique approach to understand the joint effect of occupation and education in explaining gender segregation.


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