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How do Labor Unions Influence the Gender Earnings Gap? A Comparative Study of the US and Korea

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  • Donghun Cho
  • Joonmo Cho
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    Abstract

    This paper provides a comparative study of the United States and Korea regarding the effects of unions on gender earnings gaps in 2004. Using datasets representative of the population of the US and Korea, this contribution shows that gender differences in the workers' observed characteristics and the unobserved component reduce gender earnings gaps in union jobs in both the US and Korea. Fringe benefits in the union sector attract women workers with higher labor market qualifications into the union sector and thereby reduce the gender earnings gap in this sector. The study finds that this self-selection process in the union sector is stronger in Korea than in the US, but the seniority-based wage system that prevails in the Korean union sector widens the gender earnings gap.

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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Feminist Economics.

    Volume (Year): 17 (2011)
    Issue (Month): 3 ()
    Pages: 133-157

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    Handle: RePEc:taf:femeco:v:17:y:2011:i:3:p:133-157

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    Related research

    Keywords: Gender earnings gap; trade unions; comparison of the US and Korea;

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    Cited by:
    1. Cho, Joonmo & Lee, Tai & Jung, Hanna, 2014. "Glass ceiling in a stratified labor market: Evidence from Korea," Journal of the Japanese and International Economies, Elsevier, vol. 32(C), pages 56-70.

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