Will Women Executives Demand Reduce Gender Pay Gap?
Increasing women executives’ demand can help narrow the gender pay gap in some industries, but it is unlikely to significantly affect the overall wage difference between men and women. This is as a result of occupational segregation, which accounts for much of the wage gap, and discrimination, both of which are hardly likely to be influenced by demand for women executives.
Gender pay gap is real:
We cannot deny that gender pay gap is a reality today. In average at least one woman earns 79 cents out of every dollar earned by a man. The gap has shrunk over time but not at a satisfactory rate because it takes time before people adjust to new realities. It is even wider for women of color who earn only 60 cents compared to every dollar white male counterpart makes. Although all sectors have gaps there are jobs where it’s very pronounced like finance and insurance sector where they earn just 67% only.
In addition, in tech industry women make 84 cents on average while men earn $1.00 per hour. However we can play our part to end this gender pay gap. One way of mitigating this disparity includes creating equal opportunities for high paying jobs among females. Women should also have chance to discuss their earnings and move higher in organizations ranks according to their qualifications Efforts should also be made to eradicate deep rooted prejudice against females and discrimination that fuels the gender pay gap in modern day work places Gender pay gap still persists but these measures will see its termination.
Women execs are needed badly enough that they could close the compensation divide:
The current business environment requires more women executies Women who understand how important closing the compensations differences are being sought after by companies Consequently, female executives receive top salary packages and best remuneration deals among other conditions Since more employers need them, women managers tend to develop careers quickly although not all ladies want nor fit into such management positions There are however a plethora of opportunities and high level of benefits for those interested in an executive position.
Companies with more women executives tend to perform better financially:
A recent study has found that companies with more women executives tend to perform better financially. A survey conducted by the Peterson Institute for International Economics and EY, which analyzed data from 22,000 public firms in 91 countries, discovered a number of interesting trends. It was revealed that companies whose senior management had at least 30% female members had on average a six point increase in Return on Equity (ROE) compared to firms without any women in senior management positions. In addition it showed that businesses which possess higher proportions of females occupying most senior posts are less likely to go bankrupt.
These discoveries may have many possible grounds. First and foremost, females are often more risk-averse compared to males and this in turn can make them commit financially health decisions. Women are also inclined to invest in employee training, which increases productivity and profitability. This is why businesses that have women as top managers tend to perform better financially. In a world economy that is ever increasingly globalizing and competitive, it would be prudent for organizations to capitalize on such talents by diversifying their leadership.
There are a number of ways in which you could increase the number of women executives within your organization:
There are many ways to increase the number of women executives in your company—some of which include providing basic management and leadership skills training opportunities through bridging courses, having mentorship programs where senior managers partner with high potential female employees, promoting networking among female employees or simply scrutinizing recruitment and selection processes for fairness. By doing so however, you will be able to create an environment that supports the advancement of women into managerial positions thus making it more diverse.
Closing the gender pay gap means good business for companies as well as entire societies:
Notwithstanding great strides made over the years, this country still experiences huge pay gaps between different genders. In the most recent report released by Institute for Women’s Policy Research (IWPR), females working full time earn only 82% percent per every dollar earned by men in United States (United States Congress Joint Economic Committee 2009). Regrettably, these figures have barely budged over past decade; at current rates of progress, we shall not achieve complete closure until 2059.
The benefits that come with closing gender-based wage disparity are numerous both to businesses as well as society at large; one being enhanced morale leading overall improved productivity levels among workers who feel valued. Furthermore, equal payment also helps attract top talent along with retention initiatives hence improving organization’s performance (Boushey & Brodsky). This is supported by research, which shows that companies with a more diverse workforce are more creative and profitable (Catalyst). Also, narrowing the gender pay gap can lead to reduction of poverty and inequality in the society as well as increase economic growth and higher tax revenues (Boushey & Brodsky).
From numerous advantages tied to doing away with the existing gender pay disparities, it is evident that this issue needs redress quickly. Hence, businesses and policy makers need to collaborate on ways of closing the gap in future rather than later, if at all. Only after this can we hope for genuine gender equality within workplaces.
Conclusion:
The fact remains that gender pay gap exists today in every workplace; contrary to what others may think. Women executives are both always wanted in high numbers and can be used as a means to bridge such a gap. Those organizations with many women executives are better economically performers. In your organization there are a number of ways through which you could increase the number of women executives. Good for business and society as whole – this is how one would describe closing down of wage gaps resulting from gender differences. What steps will you take towards helping address gender imbalance when it comes to salary distribution among your employees?