The DOL’s Women’s Bureau Released Two New Studies on the Gender Wage Gap

Studies indicate that the gender wage gap ranges between 17 and 20 percent

Two new studies addressing the gender wage gap was posted on the Department of Labor’s Women’s Bureau.

1. An Evaluation of the Gender Wage Gap Using Linked Survey and Administrative Data and Executive Summary. This report was developed in conjunction with the Census Bureau and uses nationally representative survey data and administrative records from the Internal Revenue Service (IRS) and the Social Security Administration (SSA) evaluating the wage gap in 316 occupations.
2. Gender-Based Pay Disparity Study. This report was developed by 2M Research and sponsored by the Women’s Bureau. This study includes updated estimates of the gender wage gap and an annotated bibliography of recent wage gap studies.

Both studies indicate that the gender wage gap ranges between 17% and 20% even after accounting for differences in men’s and women’s work histories, work hours, industry and occupational distribution, and job characteristics. In nearly all occupations, women working full time earned less than men.

OutSolve’s Take:

The studies released by the U.S. Women’s Bureau can only add additional emphasis to efforts on the part of the OFCCP to identify and remedy systemic pay discrimination. Pay audits conducted on a regular basis can help employers reveal and correct any potentially discriminatory practices.

Pay equity will be a focus for the Biden Administration in the coming year and beyond. The Paycheck Fairness Act was reintroduced into Congress in January 2021, which is aimed at amending the federal law prohibiting wage discrimination on the basis of sex. Furthermore, we are also seeing continuing pay equity legislation at the state level, e.g., the California Equal Pay Act and most recently, Illinois which will require employers to obtain an equal pay registration starting in 2024.

If you would like to take preventative measures to evaluate your pay practices, OutSolve’s Pay Equity Analysis Services are available to assist you. If you’d like additional information on OutSolve’s Pay Equity Analysis or other compliance services, reach out to us at  info@outsolve.com or by calling 888-414-2410.