The Impact of a Sustained Gender Wage Gap on the Australian Economy

Cassells, Rebecca; Vidyattama, Yogi; Miranti, Riyana; McNamara, Justine

doi:10.1037/e675932010-001

Cited by 13 publications

(16 citation statements)

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“…However, the fact remains that, in the health sector, simply being female is the major contributing factor to the gender wage gap. Previous research shows that the primary cost of females earning less than males is the disincentive to work more hours [3,26]. The Australian health sector is expected to continue to face a shortage in skilled labour.…”

Section: Discussionmentioning

confidence: 99%

“…Indeed, since 2005 evidence has emerged for a steady widening in gender wage differentials [2,3]. Several factors have been offered as explanations for the gap.…”

Section: Introductionmentioning

confidence: 99%

“…Rewards for human capital endowments, rather than differences in these endowments, offer another explanation for these gaps [6-8]. Other key determinants include industrial segregation, labour force history, under-representation of females with vocational qualifications and under-representation of females in large firms [3]. …”

Section: Introductionmentioning

confidence: 99%

“…In addition to fairness and equity there are strong economic imperatives for addressing the gender wage gap [3]. Using rigorous macroeconomic modelling techniques, researchers in Australia at the National Centre for Social and Economic Modelling concluded that the negative impact of the gender wage gap on performance stemmed primarily from the disincentives to work more hours [3].…”

Section: Introductionmentioning

confidence: 99%

“…Using rigorous macroeconomic modelling techniques, researchers in Australia at the National Centre for Social and Economic Modelling concluded that the negative impact of the gender wage gap on performance stemmed primarily from the disincentives to work more hours [3]. Other researchers have found that as the gender wage gap decreases, females work more due to the added wage incentive [26].…”

Section: Introductionmentioning

confidence: 99%

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Differences in wage rates for males and females in the health sector: a consideration of unpaid overtime to decompose the gender wage gap

et al. 2013

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BackgroundIn Australia a persistent and sizable gender wage gap exists. In recent years this gap has been steadily widening. The negative impact of gender wage differentials is the disincentive to work more hours. This implies a substantial cost on the Australian health sector. This study aimed to identify the magnitude of gender wage differentials within the health sector. The investigation accounts for unpaid overtime. Given the limited availability of information, little empirical evidence exists that accounts for unpaid overtime.MethodsInformation was collected from a sample of 10,066 Australian full-time employees within the health sector. Initially, ordinary least-squares regression was used to identify the gender wage gap when unpaid overtime was included and then excluded from the model. The sample was also stratified by gender and then by occupation to allow for comparisons. Later the Blinder–Oaxaca decomposition method was employed to identify and quantify the contribution of individual endowments to wage differentials between males and females.ResultsThe analyses of data revealed a gender wage gap that varied across occupations. The inclusion of unpaid overtime in the analysis led to a slight reduction in the wage differential. The results showed an adjusted wage gap of 16.7%.ConclusionsUnpaid overtime made a significant but small contribution to wage differentials. Being female remained the major contributing factor to the wage gap. Given that wage differentials provide a disincentive to work more hours, serious attempts to deal with the skilled labour shortage in the health sector need to address the gender wage gap.

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Section: Discussionmentioning

confidence: 99%

“…Indeed, since 2005 evidence has emerged for a steady widening in gender wage differentials [2,3]. Several factors have been offered as explanations for the gap.…”

Section: Introductionmentioning

confidence: 99%