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The Gender Pay Gap, Fringe Benefits, and Occupational Crowding

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  • Eric Solberg
  • Teresa Laughlin

Abstract

Using data from the 1991 National Longitudinal Survey of Youth, the authors estimate earnings equations for each of seven occupational categories and the aggregate sample. When fringe benefits are excluded from the compensation measure, a gender coefficient is statistically significant (that is, women are found to have received significantly lower compensation than men) within six of the seven occupational categories, the exception being the most female-dominated category. When an index of compensation that includes fringe benefits is used, however, a gender coefficient is significant in only one category, which contains relatively heterogeneous jobs. Gender-specific regressions are used to estimate what part of the earnings gap between men and women is due to differences in traits. The results indicate that occupational assignment is the primary determinant of the pay gap, a result that is consistent with a “crowding†explanation of that gap.

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  • Eric Solberg & Teresa Laughlin, 1995. "The Gender Pay Gap, Fringe Benefits, and Occupational Crowding," ILR Review, Cornell University, ILR School, vol. 48(4), pages 692-708, July.
    • Handle: RePEc:sae:ilrrev:v:48:y:1995:i:4:p:692-708
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    Cited by:

    1. Mok, Wallace & Siddique, Zahra, 2009. "Racial Differences in Fringe Benefits and Compensation," IZA Discussion Papers 4435, Institute of Labor Economics (IZA).
    2. Ariane Pailhé & Anne Solaz, 2019. "Is there a wage cost for employees in family‐friendly workplaces? The effect of different employer policies," Gender, Work and Organization, Wiley Blackwell, vol. 26(5), pages 688-721, June.
    3. Ali Fakih, 2014. "Vacation Leave, Work Hours, and Wages: New Evidence from Linked Employer–Employee Data," LABOUR, CEIS, vol. 28(4), pages 376-398, December.
    4. Kovalenko, Tim & Töpfer, Marina, 2021. "Cyclical dynamics and the gender pay gap: A structural VAR approach," Economic Modelling, Elsevier, vol. 99(C).
    5. Kristen Roche, 2017. "Millennials and the Gender Wage Gap in the U.S.: A Cross-Cohort Comparison of Young Workers Born in the 1960s and the 1980s," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 45(3), pages 333-350, September.
    6. Carolina Castagnetti & Luisa Rosti & Marina Toepfer, 2017. "Overeducation and the Gender Pay Gap in Italy. A Double Selectivity Approach," DEM Working Papers Series 144, University of Pavia, Department of Economics and Management.
    7. Wedad Andrada Quffa, 2016. "A Review Of The History Of Gender Equality In The United States Of America," Social Sciences and Education Research Review, Department of Communication, Journalism and Education Sciences, University of Craiova, vol. 3(2), pages 143-149, December.
    8. Helen Levy, 2006. "Health Insurance and the Wage Gap," NBER Working Papers 11975, National Bureau of Economic Research, Inc.
    9. Kevin F. Hallock & Xin Jin & Michael Waldman, 2022. "The total compensation gap, wage gap and benefit gap between workers with and without a disability," British Journal of Industrial Relations, London School of Economics, vol. 60(1), pages 3-31, March.
    10. Carolina Castagnetti & Luisa Rosti, 2012. "Unfair tournaments: gender stereotyping and wage discrimination among Italian graduates," DEM Working Papers Series 010, University of Pavia, Department of Economics and Management.
    11. repec:eee:labchp:v:3:y:1999:i:pc:p:3143-3259 is not listed on IDEAS

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