For each group, all of the statistics of gender wage inequality and policies to amend this inequality were pulled from Glynns report and Blau and Kahns paper. At the bottom rung of these inequalities are women of color. Peace, justice and strong institutions. (Government Printing Office, 2017). The divides become even more dramatic when viewed through a gender lens. The FAMILY Act, introduced by Sen. Kirsten Gillibrand (D-NY) and Rep. Rosa DeLauro (D-CT), outlines a national, gender-neutral social insurance program that would fund two-thirds of a parents wage for up to 12 weeks of paid leave. Some 25 percent of women and 16 percent of men have less than $10,000 in retirement accounts. Some key findings: Globally, women account for only 38 percent of human capital wealth versus 62 percent for men. Policies that ban employers from asking about wages earned at prior jobs will mitigate the impact of pay discrimination experienced in the past by preventing it from carrying forward to future earnings. The global trend towards extreme wealth and income concentration has dramatically strengthened the economic and political power of those individuals overwhelmingly male at the top. PayScale's two-year survey of 1.4 million employees reveals some surprising characteristics of the gender wage gap. Funding for it should remain in order to maintain current apprenticeship programs and create new programs to decrease the gender differences. at http://www.epi.org/blog/majority-of-workers-who-will-benefit-from-updated-overtime-rules-are-women/; Council of Economic Advisors, The State of the Gender Wage Gap (Government Printing Office, 2016), available at https://obamawhitehouse.archives.gov/sites/default/files/page/files/20160614_gender_pay_gap_issue_brief_cea.pdf. In 2018, nearly 2.3 billion people lived in water-stressed countries. In California, Hawaii, Idaho, Illinois, Nevada, New York, Rhode Island, Utah, and Washington state, 70 percent of all public universities have campus childcare available for students. With COVID-19 slowing progress on women's rights, the time to act is now. In 2017, the U.S. Department of Labor announced a $1.9 million investment to recruit, train, and retain women in high-skill occupations in a way to increase diversity within the manufacturing, technology, energy, and construction industries. Key Takeaways. Men make up just13.3 percentof home health aides, who average$28,130 per year. The differences in gender segregation among industries and occupations accounts for 50.5 percent, or $403.6 billion, of gender wage inequality. But it doesnt need to. As the 1980s began, full-time women workers' median weekly earnings were about 65% of men's. Women have narrowed the gender gap in earnings since then: their weekly earnings now (2009) are 80.2% of men's among full-time workers (U.S. Census Bureau, 2010). Eight states Georgia, Alabama, South Carolina, Wisconsin, Wyoming, Texas, Louisiana, and Mississippi have both rejected Medicaid expansion and have a $7.25 minimum wage. Wages tend to be lower in occupations that are women-dominated compared to men-dominated occupations of similar skill and education level.8 In fact, evidence suggests that an influx of women into a given occupation lowers overall wages.9. Women and Minorities in STEM Booster Act of 2017, H. Rept. Blau and Kahn found that union participation has reduced gender wage inequality by 1.3 percent, leading to $10.4 billion in increased earnings for women. (Government Printing Office, 2017). Building forward differently and better will require placing women and girls at the centre of all aspects of response and recovery, including through gender-responsive laws, policies and budgeting. Francine D. Blau and Lawrence M. Kahn, The gender wage gap: Extent, trends, and explanations, Journal of Economic Literature 55 (3) (2017): 789865. Socially constructed gender norms and internalized expectations about their behavior play a role in influencing womens decisions about what education or occupation to pursue. program on mothers leavetaking and subsequent labor market outcomes, Journal of Policy Analysis and Management 32 (2) (2013): 224245. In addition, policies that increase the number of women pursuing degrees in fields historically dominated by men would increase the chances that women would be employed in higher-paying fields after graduation. 7. Not everyone experiences inequality the same way. There were an additional 27,370,000 part-time workers, 17,539,000 of them women. Five statesCalifornia, New Jersey, Rhode Island, New York, and Washington stateand the District of Columbia have instituted paid family leave laws, though Washington state and D.C. will not activate the law until January 1, 2020. A long list of statistics shows a disparity in power between men and women which impacts society at local, national and international levels, hinders development and slows down economic progress. "These preventable tragedies mean nothing to legislators bent on helping employers pad their bottom lines at kids' https://t.co/wbDPWOYNUb, , As of January 1, 2023, the CEOs of Fortune 500 corporations include, the largest number in history but still just a tiny fraction of an elite group that earned. In addition, policies to accommodate the needs of student parents, most of whom are women, can support increased educational attainment among women. In 2021, Native American women had the highest official poverty rate, at 21.0 percent three times the 7.0 percent poverty rate for white American men. 700 million fewer women than men are in paid work. Women and girls, often overrepresented in these densely populated areas, suffer from lack of access to basic water and sanitation, health care and transportation. The investment in on-campus childcare can result in positive returns of a better-educated workforce, higher wages, and greater innovation.15. Life on land. var divElement = document.getElementById('viz1600806087846'); var vizElement = divElement.getElementsByTagName('object')[0]; if ( divElement.offsetWidth > 800 ) { vizElement.style.width='650px';vizElement.style.height='527px';} else if ( divElement.offsetWidth > 500 ) { vizElement.style.width='650px';vizElement.style.height='527px';} else { vizElement.style.width='100%';vizElement.style.height='727px';} var scriptElement = document.createElement('script'); scriptElement.src = 'https://public.tableau.com/javascripts/api/viz_v1.js'; vizElement.parentNode.insertBefore(scriptElement, vizElement); The pandemic has also hit transgender Americans especially hard economically. The proportion of women is lower the higher you look up the income distribution. Womens earnings also support economic growth. Data were. This gap has narrowed only slightly over the past four decades: in the early 1980s the income of black men was about 59 percent that of Non-Hispanic whites. The global gender gap in food security has risen dramatically during the pandemic, with more women and girls going hungry. One study has found that employed black women at ages 45-49 (in 1977) worked 2.3 more years than employed white women of the same age. The divides become even more dramatic when viewed through a gender lens. 8. Office of Information and Regulatory Affairs, EEO-1 Form; Review and Stay (Office of Management and Budget, 2017), available at https://www.reginfo.gov/public/jsp/Utilities/Review_and_Stay_Memo_for_EEOC.pdf. women are more likely to work reduced schedules, often in order to manage childbearing and other caregiving work. More These additional earnings have made the financial difference for families across races and up and down the income spectrum while also boosting economic growth. Four variables we tested - inflation, years of schooling, GDP per capita and government deficits (as a percent of GDP) - had no measurable influence on income inequality. Collecting firm-specific employment and pay data would allow the EEOC to better enforce Title VII, but it is not currently collected. In the long run, these disparities heighten the risks of financial stress and inadequate retirement savings at times of economic shocks. At ages under 35 years, there were no significant differences found by race. var divElement = document.getElementById('viz1612280196446'); var vizElement = divElement.getElementsByTagName('object')[0]; if ( divElement.offsetWidth > 800 ) { vizElement.style.width='650px';vizElement.style.height='527px';} else if ( divElement.offsetWidth > 500 ) { vizElement.style.width='650px';vizElement.style.height='527px';} else { vizElement.style.width='100%';vizElement.style.height='727px';} var scriptElement = document.createElement('script'); scriptElement.src = 'https://public.tableau.com/javascripts/api/viz_v1.js'; vizElement.parentNode.insertBefore(scriptElement, vizElement); Among U.S. women whove stopped looking for work during the pandemic, the steepest drops have been among women of color. Research indicates that a national paid leave program boosts womens wages by 7 percent.3, Potential policy recommendation 3: The Trump administrations proposed plan The Schedules That Work Act, written by Sen. Elizabeth Warren (D-MA) and Rep. Rosa DeLauro (D-CT), puts forth protocolssuch as requiring clear scheduling expectations from the start of employmentthat allow workers to request flexibility from their employers, while protecting workers from financial retaliation or employment discrimination. Most of the factors that contribute to the gender wage gap can be explained by the supply-side causes, yet the source of 38 percent of the wage gap is largely unquantified because of the difficulties in modeling socially constructed gender norms, according to Glynn. Minority women have the lowest income and earnings, usually working in the lowest paid occupations and industries and are consequently disproportionately in poverty. Globally, more than 1 billion people live in informal settlements and slums. 22. In South Asia, the Middle East, and North Africa, the share of women in unpaid work is as high as 80-90% (McKinsey, 2020).School closures and mobility restrictions during the pandemic have further increased the burden of domestic work and constrained the hours available for . The wage gap is worse for black women and Latinas. Consequently, it does not account for differences in earnings between people due to unemployment and unfinished contracts ("Delivered by Women"). Women are more likely than men to work in service occupations, including domestic work, restaurant service, retail, tourism, and hospitality, that require face-to-face interactions and have been hard-hit by layoffs. In addition, many states and cities are initiating various programs aimed at making community colleges tuition free for low-income students. As shown by. From unequal compensation to sexual harassment, gender inequality in the workplace can take many forms. 15 Union workers are more likely to have paid vacation and holidays. 19. In a 2018 report for the Washington Center for Equitable Growth, Gender wage inequality: What we know and how we can fix it, sociologist Sarah Jane Glynn breaks the contributing factors to gender wage inequality into two groups: This factsheet presents a snapshot of each of these findings and then presents a variety of policy solutions, among them legislation at the federal level, examples of state and municipal laws that could be replicated in other areas of the country and by the federal government, and federal agency rules and regulations that could be implemented or expanded. Sarah Jane Glynn, the author of the new report, concludes Gender wage inequality: what we know and how we can fix it with several telling observations. The Paycheck Fairness Act, introduced by Sen. Patty Murray (D-WA) and Rep. Rosa DeLauro (D-CT) in 2017, requires employers to prove that differences in pay were a result of business-related factors. The gender pay gap contributes to these disparities, since both pension plan and Social Security payouts reflect in part past earnings. Policies to increase wages and promote educational attainment would help improve women of colors wages but are insufficient on their own. The narrowing of the pay gap has slowed in the past two decades compared to earlier decades when women were joining the workforce in large numbers. The number of employed women declined by 54 million in 2020 and 45 million women left the labour market altogether. (2016). (Government Printing Office, 2017). 16. Response to the pandemic must include prioritizing sexual and reproductive health services, ensuring they continue to operate safely now and after the pandemic is long over. Many women in low- and middle-income countries perform most of the household chores and provide care for children. One factor skewing the numbers: Women do considerably more unpaid work, from housekeeping to caring for children and the elderly. When comparing average full-time year-round incomes of men to those of women, research indicates that women make only 80.5 percent of men's wages, a gap that is even larger when accounting for race. In the first year of the pandemic, there were an estimated 1.4 million additional unintended pregnancies in lower and middle-income countries. JEL codes: 040, J16, 015 . The Trump administration proposed a plan to create a federal paid parental leave program, administered through states unemployment insurance systems, that provides parents up to six weeks of paid leave. In particular, between 1973 and 2014, rising inequality of compensation made up 83.5 percent of the growth of the productivity-pay gap, whereas the erosion of labor's share of income explains about one-sixth of the gap (16.5 percent).7 Importantly, if rising product and labor market concentration were primary drivers of the rise in . 12. Additionally, the 'controlled' pay gap can also be calculated by comparing a man and woman working in the same job in the same position. 9. Gender segregation in the labor market and the gender wage gap; Marianne Bertrand, Claudia Goldin, and Lawrence F. Katz, Dynamics of the gender gap for young professionals in the financial and corporate sectors,, Josh Bivens and others, How todays unions help working people: Giving workers the power to improve their jobs and unrig the economy (Washington: Economic Policy Institute, 2017), available at, Gender wage inequality: What we know and how we can fix it, Gender wage inequality: what we know and how we can fix it, https://factfinder.census.gov/bkmk/table/1.0/en/ACS/15_5YR/S0101, https://www.bls.gov/news.release/empsit.t01.htm, https://www.census.gov/content/dam/Census/library/publications/2017/demo/P60-259.pdf, https://cdn.americanprogress.org/wp-content/uploads/2014/04/WomensRisingWorkv2.pdf, http://www.epi.org/publication/still-falling-short-on-hours-and-pay-part-time-work-becoming-new-normal/, https://iwpr.org/wp-content/uploads/wpallimport/files/iwpr-export/publications/C377.pdf, http://www.epi.org/publication/how-todays-unions-help-working-people-giving-workers-the-power-to-improve-their-jobs-and-unrig-the-economy/#epi-toc-10, Gender wage inequality in the United States: Causes and solutions to improve family well-being and economic growth, Discriminatory penalties at the intersection of race and gender in the United States, A judicial victory for pay transparency in the United States in the run-up to Womens Equal Pay Day, Gender segregation at work: separate but equal or inefficient and unfair, Paid Family and Medical Leave in the United States: A Research Agenda. earnings); but there are a growing number of dimensions where. Equitable Growth is a registered 501(c)3 organization, Gender wage inequality in the United States: Causes and solutions to improve family well-being and economic growth, Francine D. Blau and Lawrence M. Kahn, The gender wage gap: Extent, trends, and explanations,, Ajay Chaudry and Katie Hamm, The Child Care for Working Families Act Will Boost Employment and Create Jobs (Washington: Center for American Progress, 2017), available at, Jean Kimmel and Catalina Amuedo-Dorantes, Effects of Family Leave on Wages, Employment, and the Family Wage Gap: Distributional Implications., Maya RossinSlater, Christopher J. Ruhm, and Jane Waldfogel, The effects of Californias paid family leave. The largest pay gaps are in management positions, where men made $88,000 on average in 2016, compared to just $55,000 for women. BACKGROUND. Studies conducted by Jean Kimmel of Western Michigan University and Catalina Amuedo-Dorantes of San Diego State University found that access to parental leave correlated with a 7 percent increase in womens earnings and shrank motherhood wage inequality by two-thirds. var divElement = document.getElementById('viz1677769292503'); var vizElement = divElement.getElementsByTagName('object')[0]; if ( divElement.offsetWidth > 800 ) { vizElement.style.width='650px';vizElement.style.height='527px';} else if ( divElement.offsetWidth > 500 ) { vizElement.style.width='650px';vizElement.style.height='527px';} else { vizElement.style.width='100%';vizElement.style.height='727px';} var scriptElement = document.createElement('script'); scriptElement.src = 'https://public.tableau.com/javascripts/api/viz_v1.js'; vizElement.parentNode.insertBefore(scriptElement, vizElement); As of January 1, 2023, the CEOs of Fortune 500 corporations include 53 women the largest number in history but still just a tiny fraction of an elite group that earned $18.3 million on average in 2021. The U.S. census data released in September confirmed that the harshest effects of the gender wage gap continue to fall on women of color, 1 with many of them experiencing the largest gender pay . The number of individuals with fortunes worth at least $1 billion more than doubled between 2010 and 2018, while remaining overwhelmingly male. The report also states that gender parity can have a large . Industry, innovation and infrastructure. var divElement = document.getElementById('viz1656616519490'); var vizElement = divElement.getElementsByTagName('object')[0]; if ( divElement.offsetWidth > 800 ) { vizElement.style.width='650px';vizElement.style.height='550px';} else if ( divElement.offsetWidth > 500 ) { vizElement.style.width='650px';vizElement.style.height='550px';} else { vizElement.style.width='100%';vizElement.style.height='750px';} var scriptElement = document.createElement('script'); scriptElement.src = 'https://public.tableau.com/javascripts/api/viz_v1.js'; vizElement.parentNode.insertBefore(scriptElement, vizElement); The impact of the Supreme Court decision striking down Roe v. Wade will have be most severe for low-income people in states with long histories of restricting abortions. The combined impact of conflict, extreme weather events and COVID-19 has deprived women and girls of even basic needs such as food security. Office of Information and Regulatory Affairs, Irene F.Goodman, Christine M. Cunningham, and Cathy Lachapelle, The Womens Experience in CollegeEngineering (Cambridge, MA: Goodman Research Group, Inc., 2002), available at, Mitchell Hartman, The old salary history question could be on its way out for good, Marketplace, October 25, 2017, available at. 6. More, Equitable Growth supports research and policy analysis on how tax and macroeconomic policies can promote stable and broad-based economic growth. women make up 63.5 percent of workers earning the federal minimum wage, a rate stuck at $7.25 since 2009. Workers of color also experienced wage boosts through unionization. In conflict-affected countries, 18.9 per cent of parliamentary seats are held by women, much lower than the global average of 25.6 per cent. Goal 17. 15. Julie J. What is gender? 5. Guarantee decent work for all, introduce labour laws/reforms, removing legal barriers for married women entering the workforce, support access to affordable/quality childcare. Here are the topline numbers from the Washington Center for Equitable Growths new report, Gender wage inequality: What we know and how we can fix it., Women have less work experience than men, which explains 14 percent of gender wage inequalityresulting in $112.7 billion in lost wages annually. Also see: Lonnie Golden, Still falling short on hours and pay: Part-time work becoming new normal (Washington: Economic Policy Institute, 2016), available at http://www.epi.org/publication/still-falling-short-on-hours-and-pay-part-time-work-becoming-new-normal/. In 2021, womens average annual Social Security benefit of $17,808 lagged the benefit for men by $4,248. Goal 16. While a majority of women suffer from unequal wages, the persistence of gender wage inequality heavily affects low-income and single-income families in addition to families of color. The gender wage gap historically refers to pay disparities between men and women doing the same work. Rand Corporation research reveals that the steepest decline in labor force participation in the first phase of the pandemic was among women with two children, at 3.82 points, compared to a 1.39 point drop for men with two children. Everywhere else, legal discrimination, harmful beliefs, lack of access to sexual and reproductive health care, and low levels of political participation all perpetuate gender inequality. In other words, richer countries are more equal, but as a . According to the U.S. Census Bureau (2015), women's poverty rates were once again substantially above the poverty rates for men. 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how does gender affect income inequality