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Family, firms and the gender wage gap in France

Author

Listed:
  • Elise Coudin

    (Institute for Fiscal Studies)

  • Sophie Maillard

    (Institute for Fiscal Studies)

  • Maxime To

    (Institute for Fiscal Studies and Institut des politiques publiques (IPP))

Abstract

This paper explores how two main channels explaining the gender wage gap, namely the heterogeneity of firm pay policies and sex-specific wage consequences of parenthood, interact. We perform Card et al. (2016) decompositions all along workers’ life cycle to evidence a sorting mechanism of French private sector female workers into lower-paying firms that activates shortly after births of children. Mothers tend to work in firms with more flexible work hours and close to home. Gender-specific firm choices generate wage losses all along mothers’ careers, in addition to direct child penalties. Young mothers with low wage expectations exiting the labor market after births leads to underestimate these effects. This working paper was updated on 31/07/19.

Suggested Citation

  • Elise Coudin & Sophie Maillard & Maxime To, 2018. "Family, firms and the gender wage gap in France," IFS Working Papers W18/01, Institute for Fiscal Studies.
    • Handle: RePEc:ifs:ifsewp:18/01
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    File URL: https://www.ifs.org.uk/uploads/publications/wps/WP201801.pdf
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    More about this item

    Keywords

    gender wage gap; gender inequalities; linked employer-employee data; two-way fixed effect models; discrimination;
    All these keywords.

    JEL classification:

    • 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
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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