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SOEPpapers on Multidisciplinary Panel Data Research at DIW BerlinThis series presents research findings based either directly on data from the German SocioEconomic Panel Study (SOEP) or using SOEP data as part of an internationally comparable data set (e.g. CNEF, ECHP, LIS, LWS, CHER/PACO). SOEP is a truly multidisciplinary household panel study covering a wide range of social and behavioral sciences: economics, sociology, psychology, survey methodology, econometrics and applied statistics, educational science, political science, public health, behavioral genetics, demography, geography, and sport science.The decision to publish a submission in SOEPpapers is made by a board of editors chosen by the DIW Berlin to represent the wide range of disciplines covered by SOEP. There is no external referee process and papers are either accepted or rejected without revision. Papers appear in this series as works in progress and may also appear elsewhere. They often represent preliminary studies and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be requested from the author directly.
Glass Ceiling Effect and Earnings -The Gender Pay Gap in Managerial Positions in GermanyElke Holst* and Anne Busch**
AbstractAlthough there are a variety of studies on the gender pay gap, only a few relate to managerial positions. The present study attempts to fill this gap. Managers in private companies in Germany are a highly selective group of women and men, who differ only marginally in their human capital endowments. The Oaxaca/Blinder decomposition shows that the gender pay gap in the gross monthly salary can hardly be explained using the human capital approach. Adding variables on gender-specific labor market segregation and dimensions of the household and family to the model allows more than two-thirds of the gender pay gap to be explained. However, taking selection effects in a managerial position into account (Heckman correction), the proportion explained decreases to only one-third. This reveals the real extent to which women are disadvantaged on the labor market. In addition, we observe not only that the wages in typical women's jobs are lower than in typical men's jobs but also that women are paid less than men in typical women's jobs. The two-thirds of the gender pay gap that remain unexplained represent the unobserved heterogeneity. This includes, for example,...