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Occupational Segregation and Gender Wage Differentials: Evidence from Malaysia

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  • Rahmah Ismail
  • Maryam Farhadi
  • Chung‐Khain Wye

Abstract

In Malaysia, the participation of women in the labor market has increased over time. However, occupational segregation and wage differentials continue to be prevalent between men and women in the labor market. The present paper investigates gender‐related occupational segregation and wage differentials based on data collected from 7135 working households in Peninsular Malaysia in 2011. The wage decomposition model introduced by Brown et al. (1980) is used to examine the determinants of gender‐related wage differentials. The results suggest that differences within occupations account for the largest portion of the wage gap between men and women. The results also indicate that wage discrimination within occupations plays an important role in the gender wage gap, while sample selection bias plays an important role in the examination of gender wage gaps.

Suggested Citation

  • Rahmah Ismail & Maryam Farhadi & Chung‐Khain Wye, 2017. "Occupational Segregation and Gender Wage Differentials: Evidence from Malaysia," Asian Economic Journal, East Asian Economic Association, vol. 31(4), pages 381-401, December.
    • Handle: RePEc:bla:asiaec:v:31:y:2017:i:4:p:381-401
    DOI: 10.1111/asej.12136
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    2. Cuberes, David & Schmillen, Achim & Teignier, Marc, 2023. "The aggregate gains of eliminating gender and ethnic gaps in the Malaysian labor market," Journal of Asian Economics, Elsevier, vol. 87(C).

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