Q: I read somewhere a few months ago that the gender wage gap was narrowing, but this week I’m again hearing that women only make 84% of men’s wages and we need new legislation to correct it. Which is it?
A: Last December, Pew Research published a study indicating that the gender gap among millennial women (25-34 years) was nearing parity at 93% of their millennial male counterparts. Although not equal, this gap is much narrower than the current 84% cited when wages for women of all ages are calculated. And, of course it’s a big improvement over 1980, when women were paid 64% of what men did.
That study made headlines. What didn’t make headlines was that these millennial women who start their careers almost even with men, will see their compensation erode over the next decade.
Why? Because so many other factors contribute to the gender pay gap.
The often cited 84% number can be misleading because it’s arrived at by “adding all the wages of women and all the wages of men”. So it doesn’t mean that women are paid 84 cents on the dollar for doing the same job as a man. It means that women often have lower paying jobs in our society. Women also often choose different majors and career paths than men, take less physically risky jobs, and take time off –or work reduced hours– to care for children and family. All these contribute to the wage gap, especially marriage and children. According to a study by the Bureau of Labor Statistics, “single women who have never married earned 96% of men’s earnings in 2012”. So, when you control for all these factors the wage gap practically disappears.
What about discrimination? In my view, it’s over-hyped. Yes, it’s still a problem, but not enough to warrant additional pay equity legislation which we’ve already had since the Equal Pay Act of 1963.
I think the gender pay gap is less about discrimination and more a reflection of the fact that in our society women still take on the traditionally gender-expected responsibility for taking care of family and children. And changing discrimination laws won’t change that.
©Copyright Eva Del Rio
