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Gender differences in current and starting salaries: The role of performance, college major, and job title

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  • Barry Gerhart
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    Abstract

    This study examines starting and current salaries of exempt employees hired between 1976 and 1986 by a large, private firm. In 1986 the ratio of women's salaries to men's was 88%. With controls for year of hire, potential experience, degree, college major, firm tenure, performance, and job title, the ratio is 94-95% for the full sample and 97-98% for college graduates. Women's 1986 salary disadvantage can be traced largely to their salary disadvantage at the time of hire: with an adjustment for starting salary, the 1986 salary ratio rises to 96-99% for the full sample and 98-100% for college graduates. The apparently greater female disadvantage in starting salary than in subsequent salary growth may stem from the smaller amount of job-relevant information available on applicants than on current employees. (Abstract courtesy JSTOR.)

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    Bibliographic Info

    Article provided by ILR Review, Cornell University, ILR School in its journal ILR Review.

    Volume (Year): 43 (1990)
    Issue (Month): 4 (April)
    Pages: 418-433

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    Handle: RePEc:ilr:articl:v:43:y:1990:i:4:p:418-433

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    Cited by:
    1. Judith A. McDonald & Robert J. Thornton, 2001. "Comparable Worth in Academe: Professors at Ontario Universities," Canadian Public Policy, University of Toronto Press, vol. 27(3), pages 357-373, September.
    2. Lin, Eric S., 2010. "Gender wage gaps by college major in Taiwan: Empirical evidence from the 1997-2003 Manpower Utilization Survey," Economics of Education Review, Elsevier, vol. 29(1), pages 156-164, February.
    3. Nils Braakmann, 2008. "Non scholae, sed vitae discimus! - The importance of fields of study for the gender wage gap among German university graduates during labor market entry and the first years of their careers," Working Paper Series in Economics 85, University of L√ľneburg, Institute of Economics.
    4. Machin, Stephen & Puhani, Patrick A., 2003. "Subject of degree and the gender wage differential: evidence from the UK and Germany," Economics Letters, Elsevier, vol. 79(3), pages 393-400, June.
    5. Noe', Chiara, 2009. "Subject of degree and the gender wage gap: Evidence from Italy," MPRA Paper 47289, University Library of Munich, Germany.
    6. Joy, Lois, 2006. "Occupational differences between recent male and female college graduates," Economics of Education Review, Elsevier, vol. 25(2), pages 221-231, April.
    7. Nils Braakmann, 2013. "What Determines Wage Inequality Among Young German University Graduates?," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 233(2), pages 130-158, March.
    8. C Dougherty, 2003. "Why is the Rate of Return to Schooling Higher For Women Than For Men?," CEP Discussion Papers dp0581, Centre for Economic Performance, LSE.
    9. Jurgen Faik & Uwe Fachinger, 2013. "The decomposition of well-being categories: An application to Germany," Working Papers 307, ECINEQ, Society for the Study of Economic Inequality.

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