Gender Inequity: Older Workers and the Gender Labor Income Gap in Peru

Abstract

Using annual household surveys from 2004 to 2019, we examine the existence of a gender labor income gap among older persons in Peru. Two labor income models are estimated: Model 1 uses a basic set of demographic, socioeconomic, and personal characteristics as regressors (also called endowments); Model 2 uses the basic set plus additional personal characteristics. The Misner‐type relationship holds with positive returns for education and experience, and the anticipated association to the endowments. The Oaxaca‐Blinder decomposition yields an explained labor income gender gap of 44.4% (Model 1) and 51.5% (Model 2), i.e., controlling for endowments, approximately one half of the labor income difference remains unexplained and can be attributed to discrimination and labor segregation. In light of these results, we estimate Model 3 with two additional variables (head of household and beneficiary of intergenerational private transfer) which attempt to capture gendered stereotypes. With these two variables which provide information on gender discrimination the explained labor income gap for Model 3 is 71.1%—an increase of 19.6%. The unexplained component of the difference in labor income amounts to 28.8% that we attribute to unobserved variables that operate as post‐labor market elements in patriarchal societies. Results show that gender inequity during a woman’s life‐span manifests acutely among older women, which raises important implications for policy interventions.

Impact of Gender Discrimination on Women's Skill Development in the Workplace in a Northern Region of Peru – 2023

“…Consequently, if organizations do not facilitate conditions for skill development in terms of isolation from leadership opportunities, limited training, or lack of confidence in assuming high-level roles, the professional progression of female employees will be limited (Ensour et al, 2017;Jáuregui & Olivos, 2018;Mayer et al, 2019). Furthermore, Cruz et al (2022) argue that the proliferation of gender discrimination practices in the workplace represents not only a violation of women's fundamental rights but also a significant loss of human capital and economic potential for organizations and countries worldwide; this calls for designing policies and strategies aimed at promoting skill development within organizations and reducing discriminatory practices.…”

“…Gender discriminatory practices in the workplace represent not only a violation of women's fundamental rights but also a significant loss in human capital and economic potential for nations (Cruz et al, 2022). Understanding the magnitude and impact of this discrimination is vital for designing policies and strategies to promote equity and fully harness the potential of the female workforce.…”

Dissecting the compensation conundrum: a machine learning-based prognostication of key determinants in a complex labor market

“…Alas, as noted by Akarsu (2022), Beutel and Schleifer (2022), Suharyono and Digdowiseiso (2021) and Misra and Murray-Close (2014), the gender wage gap persists. This wage discrimination endures despite women's educational and labor force participation gains in developed countries (Bayrakdar and King, 2022;Saco et al, 2022;Chakraborty, 2020;Ugarte et al, 2015). Though the gender pay gap is not universal, it remains a vexing concern in many industrialized or semi-industrialized nations (Sharma, 2022;Shrestha et al, 2020;Ugarte et al, 2015).…”

“…Alas, as noted by Akarsu (2022), Beutel and Schleifer (2022), Suharyono and Digdowiseiso (2021) and Misra and Murray-Close (2014), the gender wage gap persists. This wage discrimination endures despite women's educational and labor force participation gains in developed countries (Bayrakdar and King, 2022; Saco et al. , 2022; Chakraborty, 2020; Ugarte et al.…”

The returns to returning to school

“…However, estimations of the returns for those returning to education has uniquely focused on the United States. Yet, policy interest in those who return to education and its consequences exists in many countries (Cruz Saco et al, 2022;Fan, 2017;Novak and Thacker, 1989;Stenberg et al, 2014). A review of the USA literature places the current research in context.…”