" The wage gap is a statistical indicator often used as an index of the status of women's earnings relative to men's. Since 1963, when the Equal Pay Act was signed, the closing of the wage gap between men and women has been at a rate of about half a penny a year. The wage gap is expressed as a percentage (e.g., in 2012 women earned 80.9% as much as men) and is calculated by dividing the median annual earnings for women by median annual earnings for men."
Read more: The Wage Gap: A History of Pay Inequity and the Equal Pay Act | Infoplease.com http://www.infoplease.com/spot/equalpayact1.html#ixzz35anHF1Yw
Read more: The Wage Gap: A History of Pay Inequity and the Equal Pay Act | Infoplease.com http://www.infoplease.com/spot/equalpayact1.html#ixzz35anHF1Yw
Women constitute 48% of the workforce & are the primary earners in 1 of 4 households. Overall women make 77 cents for every $1 for a man. These statistics are from the Bureau of Labor Statistics' (BLS) 2009 census. But let's look at the statistic. What it is telling you is that the average women in the United States makes 77 cents for every dollar that the average man makes. It says nothing about comparing men against women in specific professions, not to mention experience, hours of work, and education. Therefore, are we comparing apples to apples. Hold that thought for now, and consider this; if women are cheaper than men, .77 of a man's cost, and 70% of the average costs of a business in the United States are labor related, why then don't businesses hire just women and increase their profits; by doing this, there could be added profits which would be approximately 14% of sales, and in some instances, increasing profits by 300% (Economics of Public Issues, Miller et al). As a matter of fact, if you look at the chart below, this may be evidenced by the lower unemployment rate that women had during the most recent recession.
Let's first look at education. Who are your highest paid college grads? Easy answer, those with engineering and computer science degrees; chemical, civil aeronautical etc. In a 2013 article by Tracy Schelmetic, "According to a recent report from the Congressional Joint Economic Committee, female engineers represent only about 14 percent of the total engineering workforce. More troubling is that the proportion of female engineers appears to be dropping even further.
From 2004 to 2009, the number of women graduating from engineering programs fell by 5.2 percent and were far below the levels in the 1970s and 1980s. In 2009, the percentage of undergraduate degrees from engineering schools earned by women was 17.8 percent, a 15-year low, according to the American Society of Engineering Education. Among the nearly 28,000 members of the Society of Automotive Engineers, only 1,500 – about 5 percent — are women." Starting pay with a bachelor's degree is as follows:
Industry Median Salary Top 10%
Biomedical Engineering $81,540 $126,990
Civil and Environmental Engineering $77,560 $119,320
Chemical Engineering $90,300 $146,650
Electrical and Computer Engineering $84,540 $128,610
Mining Engineering and Sciences $82,870 $129,700
Materials Science and Engineering $83,120 $126,800
Mechanical Engineering $78,160 $119,480
All figures are from the United States Department of Labor
Updated October 2013
From 2004 to 2009, the number of women graduating from engineering programs fell by 5.2 percent and were far below the levels in the 1970s and 1980s. In 2009, the percentage of undergraduate degrees from engineering schools earned by women was 17.8 percent, a 15-year low, according to the American Society of Engineering Education. Among the nearly 28,000 members of the Society of Automotive Engineers, only 1,500 – about 5 percent — are women." Starting pay with a bachelor's degree is as follows:
Industry Median Salary Top 10%
Biomedical Engineering $81,540 $126,990
Civil and Environmental Engineering $77,560 $119,320
Chemical Engineering $90,300 $146,650
Electrical and Computer Engineering $84,540 $128,610
Mining Engineering and Sciences $82,870 $129,700
Materials Science and Engineering $83,120 $126,800
Mechanical Engineering $78,160 $119,480
All figures are from the United States Department of Labor
Updated October 2013
If you look at women in Computer Science, they only represent 10% of the profession (above chart). It is true, more women are graduating from college with advanced degrees, but it is with degrees that pay significantly less. At a number of local Boston Business Universities, the highest paying majors are Economics, Finance and Accounting. From my research, women comprise about 50% of accountancy majors but only 20% of Economics and Finance majors. Instead,about 60-70% of marketing, management and liberal arts majors are women, which have a significantly smaller starting salary out of college.
Another reason men make more is a "hazard pay" differential; 92% of all workplace fatalities are men. There are a number of reasons for this, including just plain stupidity and too much testosterone. However, if you look at those professions that are dangerous, police, fire, construction, mining, fishing (let's not forget "The Most Dangerous Catch " cable series), the huge percentage of the workforce is men.
For example, if you look at your typical bank teller, they are generally women and your typical ditch digger is a man. To me, a bank teller has the more important job than a ditch digger, yet the digger gets paid twice as much. Bank tellers are willing to take less pay because of pleasant surroundings and low physical output.
For example, if you look at your typical bank teller, they are generally women and your typical ditch digger is a man. To me, a bank teller has the more important job than a ditch digger, yet the digger gets paid twice as much. Bank tellers are willing to take less pay because of pleasant surroundings and low physical output.
In his book, Why Men Earn More, Dr. Warren Farrell, the only man ever elected three times to the Board of the National Organization for Women in NYC, once asked, “If men are paid more for the same work, why would anyone hire a man?” "Men’s trade-offs include working more hours (women typically work more at home); taking more-hazardous assignments (cab-driving; construction; trucking); moving overseas or to an undesirable location on-demand (women’s greater family obligations inhibit this); and training for more-technical jobs with less people contact (e.g., engineering)."
Women’s choices appear more likely to involve a balance between work and the rest of life. Women are more likely to balance income with a desire for safety, fulfillment, potential for personal growth, flexibility and proximity-to-home. These lifestyle advantages lead to more people competing for these jobs and thus lower pay." (WarrenFarrell.net)
Women’s choices appear more likely to involve a balance between work and the rest of life. Women are more likely to balance income with a desire for safety, fulfillment, potential for personal growth, flexibility and proximity-to-home. These lifestyle advantages lead to more people competing for these jobs and thus lower pay." (WarrenFarrell.net)
| Lastly, women are the typical caregivers in a family whether it be for a newly born child, an aging parent or a sick family member. As a result, women lose time in place and experience. An example from the US Government's legal website, "Charmaine, a mother of two preschool-age children, files an EEOC charge alleging sex discrimination after she is rejected for an opening in her employer’s executive training program. The employer asserts that it rejected Charmaine because candidates who were selected had better performance appraisals or more managerial experience and because she is not “executive material.” The employer also contends that the fact that half of the selectees were women shows that her rejection could not have been because of sex. However, the investigation reveals that Charmaine had more managerial experience or better performance appraisals than several selectees and was better qualified than some selectees, including both men and women, as weighted pursuant to the employer’s written selection policy. In addition, while the employer selected both men and women for the program, the only selectees with preschool age children were men. Under the circumstances, the investigator determines that Charmaine was subjected to discrimination based on her sex. Title VII does not prohibit discrimination based solely on parental or other caregiver status, so an employer does not generally violate Title VII’s disparate treatment proscription if, for example, it treats working mothers and working fathers in a similar unfavorable (or favorable) manner as compared to childless workers." |
I would be remiss if I did not include an observation from my wife who has been an HR director for more than 15 years. She mentions the "Old boys club". An informal system by which money and power are retained by wealthy white men through incestuous business relationships. It is not necessarily purposeful or malicious, but the “Old Boy’s Network” can be disparaging against women and minorities and hinder their success. This is a contributor to discrimination which is reprehensible in any form.
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