It is usually represented as either a percentage or a ratio of the 'difference between average gross hourly earnings of male and female employees as % of male gross earnings'. The non-adjusted gender pay gap or gender wage gap is typically the median or mean average difference between the remuneration for all working men and women in the sample chosen. Ī 2011 study by the British CMI concluded that if pay growth continues for female executives at current rates, the gap between the earnings of female and male executives would not be closed until 2109. Īnother meta-analysis of 41 empirical studies on the wage gap performed in 1998 found a similar time trend in estimated pay gaps, a decrease of roughly 1% per year. better education, training, and work attachment). The bulk of this decline, was due to better labor market endowments of women (i.e. Ī 2005 meta-analysis by Doris Weichselbaumer and Rudolf Winter-Ebmer of more than 260 published pay gap studies for over 60 countries found that, from the 1960s to the 1990s, raw (aka non-adjusted) wage differentials worldwide have fallen substantially from around 65% to 30%. In Northern and Western Europe, the ratio was far higher but it declined over the period 1500–1800. Īccording to a 2021 study on historical gender wage ratios, women in Southern Europe earned approximately half that of unskilled men between 13. Analysis from the Institute for Women’s Policy Research published in 2017 predicted that average pay would reach parity in 2059. In 2016, women's median earnings had increased to 79% of men's.

According to US census data, women's median earnings in 1963 were 56% of men's. In the United States, women's pay has increased relative to men since the 1960s. Women's weekly earnings as a percentage of men's in the U.S. The gender pay gap can be a problem from a public policy perspective in developing countries because it reduces economic output and means that women are more likely to be dependent upon welfare payments, especially in old age. Additionally, the consequences of the gender pay gap surpass individual grievances, leading to reduced economic output, lower pensions for women, and fewer learning opportunities. fatherhood bonus, parental leave, and gender norms. These include topics such as discrimination based on gender, the motherhood penalty vs.

The reasons for the gap link to legal, social and economic factors. Attempts to control for these factors arrive at adjusted figures from 95% to 99%. However, this figure changes when controlled for confounding factors such as differences in hours worked, occupations chosen, education, job experience, and level of danger at work. In the United States, for example, the average annual salary of a woman is 83% that of a man. Women are generally found to be paid less than men. The gender pay gap or gender wage gap is the average difference between the remuneration for men and women who are working.

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