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Differences in Full-Time Work Experience Explain almost a Quarter of the Gender Pay Gap in Management Positions

Author

Listed:
  • Elke Holst
  • Anne Marquardt

Abstract

Women still earn less than men on average in Germany. This applies to management positions even more: between 2010 and 2016, there was an average gender pay gap of 30 percent in gross hourly earnings. If gender-specific differences in relevant wage determinants are excluded, a pay gap of 11 percent remains. With seven percentage points, full-time work experience explains the gender pay gap to almost a quarter according to the present study based on data from the Socio-Economic Panel (Sozio-ökonomisches Panel, SOEP). In order to reduce the gender pay gap, measures are needed to counteract the large differences in working time between women and men throughout their working lives. An important step is more individual time sovereignty for both women and men in their jobs and a change in corporate culture to accommodate that.

Suggested Citation

  • Elke Holst & Anne Marquardt, 2018. "Differences in Full-Time Work Experience Explain almost a Quarter of the Gender Pay Gap in Management Positions," DIW Weekly Report, DIW Berlin, German Institute for Economic Research, vol. 8(34/35), pages 315-324.
    • Handle: RePEc:diw:diwdwr:dwr8-34-1
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    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.596958.de/dwr-18-34-1.pdf
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    More about this item

    Keywords

    Gender Pay Gap; hourly wages; horizontal segregation; vertical segregation; leadership; management; ISCO-08 (1); chief executives; high leadershippositions; economic sectors; equality; inequality; gender; women; men;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • J78 - Labor and Demographic Economics - - Labor Discrimination - - - Public Policy (including comparable worth)
    • K38 - Law and Economics - - Other Substantive Areas of Law - - - Human Rights Law; Gender Law; Animal Rights Law
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M51 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Firm Employment Decisions; Promotions

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