Gender Segregation and Gender Wage Differences during the Early Labour Market Career
AbstractUsing German linked employer-employee data this paper investigates the gender wage gap at the time of entering the labour market and its development during workers’ early career. The analysis contributes to the existing research on gender wage differentials among young workers by providing evidence on the impact of women’s disproportionate concentration in lower-paying industries, occupations, establishments and job-cells, i.e. occupations within establishments. The estimation results reveal that all types of segregation and particularly job-cell segregation are significant determinants of the gender wage gap, while skill endowments and differences in work histories are found to be of minor importance. At the time of labour market entry women’s wage disadvantages can almost entirely be explained by the fact that they start their working career in lower-paying occupations and establishments. With progressing labour market experience, however, gender segregation becomes less important and cannot fully account for a slight widening of the wage differential among young men and women. Therefore, part of the early career wage gap remains unexplained.
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Bibliographic InfoPaper provided by Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen in its series Ruhr Economic Papers with number 0352.
Length: 44 pages
Date of creation: Jul 2012
Date of revision:
Find related papers by JEL classification:
- J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-07-23 (All new papers)
- NEP-DEM-2012-07-23 (Demographic Economics)
- NEP-LAB-2012-07-23 (Labour Economics)
- NEP-LMA-2012-07-23 (Labor Markets - Supply, Demand, & Wages)
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- repec:ese:iserwp:2006-59 is not listed on IDEAS
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