scholarly journals Male–Female Wage Gap and Informal Employment in Bangladesh: A Quantile Regression Approach

2019 ◽  
Vol 20 (1) ◽  
pp. 106-123 ◽  
Author(s):  
Mustafizur Rahman ◽  
Md. Al-Hasan

This article undertakes an examination of Bangladesh’s latest available Quarterly Labour Force Survey 2015–2016 data to draw in-depth insights on gender wage gap and wage discrimination in Bangladesh labour market. The mean wage decomposition shows that on average a woman in Bangladesh earns 12.2 per cent lower wage than a man, and about half of the wage gap can be explained by labour market discrimination against women. Quantile counterfactual decomposition shows that women are subject to higher wage penalty at the lower deciles of the wage distribution with the wage gap varying between 8.3 per cent and 19.4 per cent at different deciles. We have found that at lower deciles, a significant part of the gender wage gap is on account of the relatively larger presence of informal employment. Conditional quantile estimates further reveal that formally employed female workers earn higher wage than their male counterparts at the first decile but suffer from wage penalty at the top deciles. JEL: C21, J31, J46, J70

2007 ◽  
Vol 46 (4II) ◽  
pp. 865-882 ◽  
Author(s):  
Muhammad Sabir ◽  
Zehra Aftab

One of the main caveats of Pakistan’s economic development history is the persistence of gender inequality with respect to almost all socioeconomic indicators. For instance, Pakistan ranks 66, out of 75 countries, with respect to the Gender Empowerment Measure (Human Development Report, 2006) with a GEM value of 0.377, largely a manifestation of very low estimated female to male earned income ratio, which is a depressing 0.29. GEM and other labour force statistics confirm the gender gap in labour force participation. One of the possible explanations of this gender gap is gender discrimination in the labour market, particularly in wages. Evidence with respect to gender discrimination in Pakistan’s labour market is welldocumented. Siddique, et al. (2006), Nasir and Nazli (2000), Siddique, et al. (1998) and Ashraf and Ashraf (1993) all confirm that men earn higher wages than women even after controlling for measurable characteristics affecting their productivity. These studies, however, analyse the gender wage gap by comparing the mean male/female wage. Studies which compare the gender wage gap at different points along the wage distribution are not available for Pakistan.


2016 ◽  
pp. 124-147
Author(s):  
Piret Tõnurist ◽  
Dimitris Pavlopoulos

This article uses insights from labour-market segmentation theory in order to investigate the wage differences between part-time and full-time workers in Germany at different parts of the wage distribution. This is accomplished with the use of a quintile regression and panel data from the German Socio Economic Panel (1991-2012). To obtain insights on the part-time wage differentials, we apply a counterfactual wage decomposition analysis. The results indicate the presence of a part-time wage penalty for involuntary part-time work at the low and middle parts of the wage distribution. In contrast, a wage premium for voluntary part-time work emerges, especially at the top of the distribution. Moreover, at the lower end of the wage distribution, part-time workers receive lower returns for their labour market characteristics, indicating the segmentation of the labour market. In contrast, the difference in the characteristics of part-timers and full-timers fully explains the part-time wage gap at the top of the wage distribution.


Stanovnistvo ◽  
2021 ◽  
Vol 59 (2) ◽  
pp. 123-141
Author(s):  
Kosovka Ognjenovic

The aim of this paper is to determine the size, structure, and significance of the differences in wages between men and women during the early transition in Serbia in the 2000s. During that period, a new legislative framework was established in the field of labour relations, which enabled greater liberalisation in the labour market and resulted in a reduction in the activity rate, especially of women. Following the experiences of other post-transition countries, it may be expected that economic and social changes caused by the transitional shocks may stimulate different behaviours in the labour market of both the employers, through their impact on determination of wages, and the labour force, through workers? choice to remain or to permanently exit the labour market. This could affect not only the deepening of gender differences, but also the emergence of discrimination in wage setting. The paper applies the parametric sample selection model, on the basis of which the probability of women?s participation in the labour market is estimated, as well as the wage functions of men and women. Data from the Living Standards Measurement Survey for 2002 and 2007 are used. Theoretically expected results are obtained; children and marital status with a negative sign, and sources of non-working income with a positive sign influence the probability of women?s participation in the labour force. The estimated equations of wages of men and women indicate differences in the structure of wages, which provides the basis for the application of the statistical procedure for the decomposition of the gender wage gap. Examination of the initial hypothesis revealed the presence of a significant gender wage gap, which was the largest in 2002 (10.96%), falling to 5.97% in 2007. The gender wage gap in Serbia cannot be explained by the differences in the observed characteristics of men and women, since they act in the direction of reducing the overall gap and their effect is stable, amounting to between -5.51% (2002) and -5.43% (2007). Therefore, the decline in the gender wage gap is the result of reducing the gap in the unexplained part from 17.43% (2002) to 12.06% (2007). Over the observed period, the unexplained part of the gender wage gap remains persistent and leaves room for consideration of the potential effects of discrimination and possible directions of public policy.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anna Rosso

PurposeThe paper aims at examining wage developments among Eastern European immigrants vs UK natives before and after the 2004 enlargement by measuring the extent to which inter-group wage differentials are explainable by these groups' changing attributes or by differences in returns to these characteristics. The enlargement has been a defining moment in British recent history and may have contributed to the unfolding of the events that have culminated in Brexit.Design/methodology/approachThe paper uses a quantitative analysis of the immigrant–native wage gap across the entire distribution by applying the methodology known as the unconditional quantile regression. The analysis is performed before and after the 2004 European Union enlargement to Eastern countries. The data used is the British Labour Force Survey (UK LFS) from 1998 to 2008.FindingsAt all distribution points, a major role is played by occupational downgrading, which increases over time. The results further suggest that the decreased wage levels at the top of the distribution stem mainly from low transferability of skills acquired in the source country.Research limitations/implicationsThe UK LFS does not allow to follow individuals for a long period of time. For this reason, the main limitation of the study is the impossibility to measure for individual-level trajectories in their labour market integration and to account for return migration.Originality/valueThe analysis provides a detailed picture of the wage differences between Eastern European immigrants and natives along the whole wage distribution. The paper also identifies possible causes of the wage gap decrease for EU8 immigrant workers after 2008.


2021 ◽  
Author(s):  
Kore Marc Antoine Guei

Abstract The paper assesses the impact of trade liberalization on the labour market by focusing on skill wage premium. The paper tests these effects by developing a monopolistic competition model with two factors of production characterized by their skill levels (skilled and unskilled labour). The paper finds that tariff’s level reductions cause a moderate increase in the wage gap. Thus, our analysis shows that a 10% decrease in tariffs is accompanied by a 16.1 % increase in the skill premium. Also, the same level of tariffs’ cut will on average increase the gender wage gap by 26.8%. The study implies that trade liberalization tends to benefit more workers in the skilled labour market compared to workers in the unskilled labour market.


2021 ◽  
Vol 572-573 (11-12) ◽  
pp. 24-31
Author(s):  
Łukasz Arendt ◽  
Wojciech Grabowski

The paper studies upgrading patterns between secondary and primary segments in Polish labour market, with reference to the Segmented Labour Market theory. The type of contact (permanent vs. fixed-term) and wage distribution were used within one framework to define these labour segments. The parameters of binary choice model, based on Labour Force Survey microdata, were estimated to calculate the probabilities of shift from secondary to primary segment, and to identify supply and demand-side determinants of this upgrading. The results are, in general, in line with the trap hypothesis, pointing out to limited chances of upward shift from secondary to primary labour segment. However, this upward mobility has increased in recent years, being a result of changes in real (measured by lowering unemployment rate) and institutional sphere of the Polish labour market. Individual’s age, education attainment, propensity to invest in human capital, as well as the size of an enterprise appeared to be the most important divers of inter-segments upgrading. Moreover, regional as well as sectoral differences in probability of upgrading were identified – this probability was higher in the case of workers living in regions with large agglomerations and close proximity to the German labour market.


Author(s):  
Raquel Mendes

Despite the evidence of female progress with regard to women’s role in the labor market, gender inequality remains. Women are still less likely to be employed than men, occupational gender segregation continues, and females continue to earn less than males. The gender wage gap remains wide in several occupational sectors, among which is the information technology (IT) sector. This paper focuses the determinants of gender wage inequality. More precisely, it investigates for statistical evidence of a glass ceiling effect on women’s wages. Based on the quantile regression framework, the empirical analysis extends the decomposition of the average gender wage gap to other parts of the earnings distribution. The main objective is to empirically test whether gender-based wage discrimination is greater among high paid employees, in line with glass ceiling hypothesis. Larger unexplained gaps at the top of the wage distribution indicate the existence of a glass ceiling effect in Portugal.


2017 ◽  
Vol 62 (02) ◽  
pp. 423-445 ◽  
Author(s):  
ALMAS HESHMATI ◽  
BIWEI SU

This paper estimates the gender wage gap and its composition in China’s urban labor market. The traditional Blinder–Oaxaca (1973) decomposition method with different weighing systems is employed. To correct for potential selection bias caused by women’s labor force participation, we employ the Heckman’s two-step procedure to estimate the female wage function. A large proportion of the gender wage gap is unexplained by differences of productive characteristics of individuals. Even though women have higher level of education attainments on average, they receive lower wages than men. Both facts suggest a potential discrimination against women in China.


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