Can Wage Transparency Alleviate Gender Sorting in the Labor Market?

Can Wage Transparency Alleviate Gender Sorting in the Labor Market? PDF Author: Omar Bamieh
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
Wage decompositions suggest that a large share of the gender wage gap can be explained by differences in occupation and employer choices. If female workers are not well informed about these pay differences, increasing wage transparency might alleviate the gender gap. We test this hypothesis by examining the impact of the 2011 Pay Transparency Law in Austria, which requires companies to state a wage figure in job advertisements. For the analysis, we combine vacancy postings from the largest Austrian job board with social security spells that record the gender of new hires. To compare the pay level of vacancies before and after the reform, we predict wage postings using detailed occupation-employer cells, which explain about 75 percent of the variation in posted wages. While we estimate a substantial gender wage gap of 15 log points, pay transparency did not affect gender sorting into better-paid occupation and firms. To study job transitions, we focus on a subsample of workers whose previous employment is also observed. Our estimates show that switching occupations is common, and it often entails significant wage changes. Yet, in line with our main estimates, we do not find that women become more likely to switch to better-paid jobs. We interpret the absence of effects as evidence that limited transparency does not explain the persistence of gender sorting in the labor market.

Can Wage Transparency Alleviate Gender Sorting in the Labor Market?

Can Wage Transparency Alleviate Gender Sorting in the Labor Market? PDF Author: Omar Bamieh
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
Wage decompositions suggest that a large share of the gender wage gap can be explained by differences in occupation and employer choices. If female workers are not well informed about these pay differences, increasing wage transparency might alleviate the gender gap. We test this hypothesis by examining the impact of the 2011 Pay Transparency Law in Austria, which requires companies to state a wage figure in job advertisements. For the analysis, we combine vacancy postings from the largest Austrian job board with social security spells that record the gender of new hires. To compare the pay level of vacancies before and after the reform, we predict wage postings using detailed occupation-employer cells, which explain about 75 percent of the variation in posted wages. While we estimate a substantial gender wage gap of 15 log points, pay transparency did not affect gender sorting into better-paid occupation and firms. To study job transitions, we focus on a subsample of workers whose previous employment is also observed. Our estimates show that switching occupations is common, and it often entails significant wage changes. Yet, in line with our main estimates, we do not find that women become more likely to switch to better-paid jobs. We interpret the absence of effects as evidence that limited transparency does not explain the persistence of gender sorting in the labor market.

Sex Discrimination in the Labor Market

Sex Discrimination in the Labor Market PDF Author: Joni Hersch
Publisher: Now Publishers Inc
ISBN: 1933019476
Category : Business & Economics
Languages : en
Pages : 97

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Book Description
Women have made huge advances relative to men in the labor force, occupational status, and educational attainment, but women continue to earn less than men. While the gender pay gap has narrowed, a substantial gap remains. Sex Discrimination in the Labor Market examines sources of this pay disparity and the factors that contribute to this gap. Whether sex discrimination plays a role in the gender pay gap is a topic of considerable debate. Many researchers question the role of discrimination and attribute the residual pay gap to gender differences in preferences, especially with respect to balancing work with family responsibilities. Sex Discrimination in the Labor Market shows that sex discrimination contributes to the unexplained gender pay gap, which is consistent with high profile sex discrimination litigation suggesting continuing bias in the labor market on the basis of sex.

Gender Convergence in the Labor Market

Gender Convergence in the Labor Market PDF Author: Solomon W. Polachek
Publisher: Emerald Group Publishing
ISBN: 1784414557
Category : Political Science
Languages : en
Pages : 390

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Book Description
This volume contains new and innovative research articles on issues related to gender convergence in the labor market. Topics include patterns in lifetime work, earnings and human capital investment, the gender wage gap, gender complementarities, career progression, the gender composition of top management and the role of parental leave policies.

External Pay Transparency and the Gender Wage Gap

External Pay Transparency and the Gender Wage Gap PDF Author: Wolfgang Frimmel
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Book Description
We show that providing publicly available wage information in vacancies, so-called external pay transparency, can reduce the gender wage gap. There is an increasing interest in pay transparency policies as a tool to combat unequal pay. We exploit a reform of Austria's Equal Treatment Law to evaluate how providing wage information in vacancies affects the gender wage gap. To take into account that the value of providing such external pay information is likely to be heterogeneous along the wage distribution, we implement a Quantile Difference-in-Difference model. The reform led to a small overall reduction of the gender wage gap. Our main results highlight that reductions in the wage gap are larger in circumstances where women are likely to hold misspecified beliefs about their labor market options and when needing to make job acceptance decisions under pressure. The reduction in the gender wage gap was caused by an increase in women's earnings, particularly at the lower part of the distribution. Earnings of men, on the other side, remained largely constant. Our results lend support to policy proposals aimed at increasing external pay transparency.

The Impact of Selection Into the Labor Force on the Gender Wage Gap

The Impact of Selection Into the Labor Force on the Gender Wage Gap PDF Author: Francine D. Blau
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
We study the impact of selection bias on estimates of the gender pay gap, focusing on whether the gender pay gap has fallen since 1981. Previous research has found divergent results across techniques, identification strategies, data sets, and time periods. Using Michigan Panel Study of Income Dynamics data and a number of different identification strategies, we find robust evidence that, after controlling for selection, there were large declines in the raw and the unexplained gender wage gaps over the 1981-2015 period. Under our preferred method of accounting for selection, we find that the raw median wage gap declined by 0.378 log points, while the median unexplained gap declined by a more modest but still substantial 0.204 log points. These declines are larger than estimates that do not account for selection. Our results suggest that women's relative wage offers have increased over this period, even after controlling for their measured covariates, including education and actual labor market experience. However, we note that substantial gender wage gaps remain. In 2015, at the median, the selectivity-corrected gaps were 0.242 log points (raw gap) and 0.206 log points (unexplained gap).

Living Wages, Equal Wages: Gender and Labour Market Policies in the United States

Living Wages, Equal Wages: Gender and Labour Market Policies in the United States PDF Author: Deborah M. Figart
Publisher: Routledge
ISBN: 1134480164
Category : Business & Economics
Languages : en
Pages : 276

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Book Description
Wage setting has historically been a deeply political and cultural as well as economic process. This informative and accessible book explores how US wage regulations in the twentieth century took gender, race-ethnicity and class into account. Focusing on social reform movements for living wages and equal wages, it offers an interdisciplinary account of how women's work and the remuneration for that work has changed along with the massive transformations in the economy and family structures. The controversial issue of establishing living wages for all workers makes this book both a timely and indispensable contribution to this wide ranging debate, and it will surely become required reading for anyone with an interest in modern economic issues.

New and Stronger Remedies are Needed to Reduce Gender-based Wage Discrimination

New and Stronger Remedies are Needed to Reduce Gender-based Wage Discrimination PDF Author:
Publisher:
ISBN:
Category : Sex discrimination against women
Languages : en
Pages : 26

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Book Description


The Oxford Handbook of Women and the Economy

The Oxford Handbook of Women and the Economy PDF Author: Susan L. Averett
Publisher: Oxford University Press
ISBN: 0190878266
Category : Business & Economics
Languages : en
Pages : 889

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Book Description
The transformation of women's lives over the past century is among the most significant and far-reaching of social and economic phenomena, affecting not only women but also their partners, children, and indeed nearly every person on the planet. In developed and developing countries alike, women are acquiring more education, marrying later, having fewer children, and spending a far greater amount of their adult lives in the labor force. Yet, because women remain the primary caregivers of children, issues such as work-life balance and the glass ceiling have given rise to critical policy discussions in the developed world. In developing countries, many women lack access to reproductive technology and are often relegated to jobs in the informal sector, where pay is variable and job security is weak. Considerable occupational segregation and stubborn gender pay gaps persist around the world. The Oxford Handbook of Women and the Economy is the first comprehensive collection of scholarly essays to address these issues using the powerful framework of economics. Each chapter, written by an acknowledged expert or team of experts, reviews the key trends, surveys the relevant economic theory, and summarizes and critiques the empirical research literature. By providing a clear-eyed view of what we know, what we do not know, and what the critical unanswered questions are, this Handbook provides an invaluable and wide-ranging examination of the many changes that have occurred in women's economic lives.

Pay Transparency Tools to Close the Gender Wage Gap

Pay Transparency Tools to Close the Gender Wage Gap PDF Author: OECD
Publisher:
ISBN: 9789264390188
Category :
Languages : en
Pages : 132

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Book Description
Despite big societal changes, and many labour market, educational and public policy initiatives, women are still paid less than men. This report presents the first stocktaking of pay transparency tools across OECD countries and explores how such policies can help level the playing field for women and men at work.

Gender Differences in Wage Expectations

Gender Differences in Wage Expectations PDF Author: Lukas Kiessling
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
This paper presents evidence from a large-scale study on gender differences in expected wages before labor market entry. Based on data for over 15,000 students, we document a significant and large gender gap in wage expectations that closely resembles actual wage differences, prevails across subgroups, and along the entire distribution. To understand the underlying causes and determinants, we relate expected wages to sorting into majors, industries, and occupations, child-rearing plans, perceived and actual ability, personality, perceived discrimination, and negotiation styles. Our findings indicate that sorting and negotiation styles affect the gender gap in wage expectations much more than prospective child-related labor force interruptions. Given the importance of wage expectations for labor market decisions, household bargaining, and wage setting, our results provide an explanation for persistent gender inequalities.