May 13, 2011

The gender pay gap in the European union:

Quantitative and qualitative indicators

DULBEA Department of Applied Economics of the Université Libre de Bruxelles

Natalie SIMEU

SGgGender pay gap Conference- Tallinn »Gender pay gap Conference- Tallinn 

I. General gender pay gap indicators Indicator 1: Ratio for all employees Indicator 2: Ratio for the total sum of wages 

II. Inequality factors Indicator 3: Ratio for part-time work Indicator 4: Ratio by age and education level Indicator 5: Segregation in the labour market Indicator 6: Ratio according to personal characteristics

III. Relative weight of these factors Indicator 7: Decomposition of the hourly pay gap between women and men using the

Oaxaca technique

2

May 13, 2011

Quantitative indicators

Gender pay gap Conference- Tallinn 

Qualitative indicators: Policies combating the pay gap

Indicator 8: Measures to promote equal pay and combat the gender pay gap

Indicator 9: Influence of collective bargaining on the promotion of equal pay and the elimination of the pay gap between women and men

Indicator 10: Effects of flexible forms of employment on the gender pay gap

3

May 13, 2011

Gender pay gap Conference- Tallinn 

4

Indicator 1: Ratio for all employees

The pay gap ranges from 4 % in Italy to 27 % in Estonia, and the European average is 20 %

May 13, 2011

Part I : Quantitative indicators

Figure 1: Average gross hourly pay gaps for women and men working full time and part time (in euro), countries arranged in increasing order of the pay gap (2006)

Soue: Structure of Earnings Survey

Source: ESES and LFS

Gender pay gap Conference- Tallinn 

5

Indicator 1: Difference between average gross wages

Correlation between the employment rate and the GPG

Figure 2 : GPG and female employment rate (2006)

Source: ESES and LFS

May 13, 2011

Gender pay gap Conference- Tallinn 

6

Indicator 2: Ratio for the total sum of wages

Women's share ranges from 29,34 % in Luxembourg to 49,81 % in Latvia.

In three countries (United Kingdom, Lithuania and Cyprus) the proportion of female and male employees is almost equal, with the difference being less than one percentage point.

May 13, 2011

Gender pay gap Conference- Tallinn 

Figure 3: Share of female and male employees, countries arranged in increasing order of

the proportion of women (2006)

Source: Labour Force Survey

0%

20%

40%

60%

80%

100%

GR ES IT LU BE SE RO SK NL PL CZ AT HU PT SI DK IE DE FR EE BG CY UK LT FI LV

women men

7

Indicator 3: Ratio for part-time work

Part-time work is generally performed to a greater extent by women and associated with a wage penalty: it is important to bear this in mind when analysing pay gaps

Figure 4: Part-time employment rates of women and men (2006)

May 13, 2011

EUROSTAT, Labour Force Survey

Source: EUROSTAT, Labour Force Survey

Gender pay gap Conference- Tallinn 

Indicator 4: Ratio by age and education level

This indicator helps analyse pay gaps whilst bearing in mind the different life and career paths of women and men

Figure 5: Differences between the average gross hourly earnings of women and men by age (in euro) (2006)

8

May 13, 2011

Source: Structure of Earnings Survey

Gender pay gap Conference- Tallinn 

9

Indicator 4: Ratio by age and education level

May 13, 2011

Figure 6: Average gross hourly earnings of women and men by education level (in euro) (2006)

Source: Structure of Earnings Survey

Gender pay gap Conference- Tallinn 

Indicator 5: Segregation in the labour market

10

May 13, 2011

Figure 7: Average gross hourly earnings of women and men according to the five large sectors (in euro) (2006)

Source: Structure of Earnings Survey

Gender pay gap Conference- Tallinn 

Indicator 5: Segregation in the labour market

11

May 13, 2011

Figure 8: Average gross hourly earnings of women and men according to the five main occupations (in euro) (2006)

Source: Structure of Earnings Survey

Gender pay gap Conference- Tallinn 

12

Indicator 6: Ratio according to personal characteristics

Family composition and marital status have a major influence on women's and men's pay

The country of birth often has a negative impact on pay. Moreover, this impact seems to be greater for women than for men.

May 13, 2011

Gender pay gap Conference- Tallinn 

13

Indicator 7: Decomposition of the GPG

Decomposition of the GPG using the basic Oaxaca-Blinder methodology (16 countries)

Figure 9: The explained component and the unexplained component of the gap in gross hourly earnings (in percentage points); countries arranged by increasing order of the pay gap (2006)

Source : ESES

May 13, 2011

Gender pay gap Conference- Tallinn 

Qualitative indicators

For each indicator (except the last one), the respondents had to present the measures taken and the means by which the objectives pursued were evaluated.

The analysis was based not only on the replies to the questionnaires (together with the evaluation of those replies, where applicable), but also on the existing literature, and in particular the publications of the European Commission and the Network of Legal Experts in Gender Equality

14

May 13, 2011

Gender pay gap Conference- Tallinn 

Indicator on existing measures to promote equal pay and combat the gender pay gap

While the law is essential, it is not sufficient to narrow the gender pay gap, so the Member States are called to combine legislative and non-legislative measures

This indicator incorporates the following: the parties involved in the issue of the gender pay gap and their role, the measures taken by the public authorities to eliminate the gender pay gap, the best practices for eliminating the gender pay gap

15

May 13, 2011

Gender pay gap Conference- Tallinn 

Indicator on the influence of collective bargaining on the promotion of equal pay and the elimination of the pay gap between women and men

This indicator is based on the measures, their evaluation and the good practices concerning the gender pay gap implemented under collective bargaining

  This indicator, although fundamental, is not the simplest to

deal with as the systems differ greatly between the States, making comparisons difficult

16

May 13, 2011

Gender pay gap Conference- Tallinn 

Indicator capturing the effects of flexible forms of employment on the gender pay gap

This indicator concerns evaluations of, or research into, the effects (short and long term) of flexible forms of employment on the gender pay gap. These questions include, in particular, part‑time work, career breaks, time credit and parental leave.

A specific question relates to information provided by the public authorities to raise awareness of the effects of flexible forms of employment on the gender pay gap

17

May 13, 2011

Gender pay gap Conference- Tallinn