Recruitment and Pay at the Establishment Level: Gender Segregation and the Wage Gap in Portugal
AbstractThis paper aims at quantifying the trend in worker segregation at the establishment level and its impact on wages in Portugal over a fifteen year period. We concentrate on the gender dimension, to answer the questions: have changes in recruitment policies at the establishment level resulted in higher gender segregation in the labour market? What is the impact of segregation on wages? Is that impact different for men and women? A large linked employer-employee data set is used. Systematic and random components of segregation are computed. We use standard wage decomposition techniques to evaluate the impact of the composition of the labour force at the establishment level on wages. Results reveal a high degree of systematic gender segregation. A higher proportion of females in the establishment lowers females' wages while, on the contrary, it raises males' wages. Between mid-80s and late-90s, the contribution of the gender composition of the workforce within the establishment to the wage gap increased, though fluctuating within that period. The evidence gathered lends support to the taste-based model of employer behaviour.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 789.
Length: 20 pages
Date of creation: Jun 2003
Date of revision:
Publication status: published as 'Gender segregation and the wage gap in Portugal: an analysis at the establishment level' in: Journal of Economic Inequality, 2005, 3 (2), 145-168
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Find related papers by JEL classification:
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
- J7 - Labor and Demographic Economics - - Labor Discrimination
This paper has been announced in the following NEP Reports:
- NEP-ALL-2003-06-25 (All new papers)
- NEP-EEC-2003-06-25 (European Economics)
- NEP-LAB-2003-06-25 (Labour Economics)
- NEP-LTV-2003-06-25 (Unemployment, Inequality & Poverty)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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