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Occupational Sex Segregation and Management-Level Wages in Germany: What Role Does Firm Size Play?

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  • Busch, Anne

    ()
    (DIW Berlin)

  • Holst, Elke

    ()
    (DIW Berlin)

Abstract

The paper analyzes the gender pay gap in private-sector management positions based on German panel data and using fixed-effects models. It deals with the effect of occupational sex segregation on wages, and the extent to which wage penalties for managers in predominantly female occupations are moderated by firm size. Drawing on economic and organizational approaches and the devaluation of women's work, we find wage penalties for female occupations in management only in large firms. This indicates a pronounced devaluation of female occupations, which might be due to the longer existence, stronger formalization, or more established "old-boy networks" of large firms.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6568.

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Length: 41 pages
Date of creation: May 2012
Date of revision:
Handle: RePEc:iza:izadps:dp6568

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Keywords: occupational sex segregation; managerial positions; gender pay gap; gendered organization; firm size;

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References

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  1. Marianne Bertrand & Kevin F. Hallock, 2000. "The Gender Gap in Top Corporate Jobs," NBER Working Papers 7931, National Bureau of Economic Research, Inc.
  2. Francine D. Blau & Lawrence M. Kahn, 2000. "Gender Differences in Pay," NBER Working Papers 7732, National Bureau of Economic Research, Inc.
  3. Francine D. Blau & Lawrence M. Kahn, 2001. "Understanding International Differences in the Gender Pay Gap," NBER Working Papers 8200, National Bureau of Economic Research, Inc.
  4. Jacob A. Mincer, 1974. "Schooling, Experience, and Earnings," NBER Books, National Bureau of Economic Research, Inc, number minc74-1, June.
  5. Anne Busch & Elke Holst, 2011. "Gender-Specific Occupational Segregation, Glass Ceiling Effects, and Earnings in Managerial Positions: Results of a Fixed Effects Model," Discussion Papers of DIW Berlin 1101, DIW Berlin, German Institute for Economic Research.
  6. repec:iab:iabzaf:v:41:i:2/3:p:181-198 is not listed on IDEAS
  7. Lausten, Mette, 2001. "Gender Differences in Managerial Compensation - Evidences from Denmark," Working Papers 01-4, University of Aarhus, Aarhus School of Business, Department of Economics.
  8. Elke Holst & Anne Busch, 2010. "Führungskräfte-Monitor 2010," DIW Berlin: Politikberatung kompakt, DIW Berlin, German Institute for Economic Research, volume 56, number pbk56.
  9. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January.
  10. Elke Holst & Julia Schimeta, 2011. "Twenty-Nine Women to 906 Men : Continuing Gender Inequality on the Boards of Germany's Top Companies," Weekly Report, DIW Berlin, German Institute for Economic Research, vol. 7(4), pages 19-28.
  11. Paula England, 1982. "The Failure of Human Capital Theory to Explain Occupational Sex Segregation," Journal of Human Resources, University of Wisconsin Press, vol. 17(3), pages 358-370.
  12. Achatz, Juliane & Gartner, Hermann & Glück, Timea, 2004. "Bonus oder Bias? Mechanismen geschlechtsspezifischer Entlohnung," IAB Discussion Paper 200402, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  13. Jacob A. Mincer, 1974. "Introduction to "Schooling, Experience, and Earnings"," NBER Chapters, in: Schooling, Experience, and Earnings, pages 1-4 National Bureau of Economic Research, Inc.
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