Human Resources



All you need to know about the gender pay gap – across jobs, experience, industries

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It is not news that there is a income pay gap between genders at work and the gap widens as one move up to management level, according to study by Workplace Gender Equality Agency (WGEA).

PayScale’s Gender Pay Gap report, took a deeper into the issue by comparing uncontrolled gender pay gap and controlled gender pay gaps.

In the US, women earn 78 cents for every dollar a man earns, according to data published by Bureau of Labor Statistics.

This pay gap, refered to as the uncontrolled gender pay gap, is calculated by comparing the average earnings of all working men to all working women.

This figure shows that there is a deep chasm between the earning power of men and the earning power of women, overall.

Women with similar qualifications working the same jobs as men are also earning less than their male peers, otherwise known as the controlled gender pay gap – at 97.3 cents for every dollar earned by a man.

After looking at more than 1.4 million salary profiles comparing men and women working the same jobs and controlling for factors such as experience, location, hours worked, education, women are earning 2.7% less than men doing the same job.



That may not seem to be a huge gap but Payscale ran the numbers to find out how things like marital and family status, job level, job type, industry, location, education and more affect gender pay equity.

It found that the pay gap widens as one climbs the corporate ladder – and the biggest income gap is between married men and single mothers.

ALSO READ: Women’s pay finally equals men’s…from 2006

It found men get promoted faster than women, and that women report more negative feelings about job satisfaction, job stress, and communication with their employers.

A big reason why men earn more than women is type of job they do.

In fact, a major cause of pay inequity in general, is that men and women are not doing the same jobs in the first place. Men are simply more likely to hold higher-paying jobs, whether it’s because of the industry, job type, or job level.

Men primarily hold many of the highest-paying types of jobs, like engineering, computer science, and business and finance. Women, meanwhile, hold a majority of teaching, social service and personal care jobs, it found.

Women with children seem to be discriminated the most. The gender pay gap is highest between married men with children and married women with children. Married men earn the highest salaries, and single moms the lowest.



Married men with children get annual median salaries of US$67,900, while those who do not have children earn US$60,800. Single moms make US$38,200 on average yearly.

Men’s salaries increase until ages 50 to 55, where they level off at an annual median salary of $75,000. Women’s salaries plateau between the ages of 35 to 40 at an annual median of $49,000.

Studying more also does not seem to help women close the income gap, with the pay gap increasing with the level of education.

PhD holders have the highest controlled pay gap (5.1 %), followed by MBA holders (4.7 $), and MDs (4.6 %).

ALSO READ: Women are working 57 days for free every year

Image: Shutterstock

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