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Equal Employment Opportunity Law and the gender wage gap in Japan: A cohort analysis

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  • Abe, Yukiko

Abstract

In this article, I perform a cohort-based analysis of the female-to-male wage gap using aggregate data in Japan from 1975 to 2005. While the inter-cohort closing in the gender wage gap is apparent, the convergence is smaller when the gap is calculated for each level of education. This pattern suggests that a certain portion of the gender wage convergence is due to changes in the educational composition of the workforce. I find that educational composition changes played a larger role in closing the pay gap for younger cohorts than it did for older cohorts. Highly educated women who entered the labor market after the enactment of the Equal Employment Opportunity Law gained in that they had more regular full-time employment but did not experience wage gains relative to their male counterparts.

Suggested Citation

  • Abe, Yukiko, 2010. "Equal Employment Opportunity Law and the gender wage gap in Japan: A cohort analysis," Journal of Asian Economics, Elsevier, vol. 21(2), pages 142-155, April.
  • Handle: RePEc:eee:asieco:v:21:y:2010:i:2:p:142-155
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    1. KAWAGUCHI Daiji & NAITO Hisahiro, 2006. "The Bound Estimate of the Gender Wage Convergence under Employment Compositional Change," ESRI Discussion paper series 161, Economic and Social Research Institute (ESRI).
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    5. Edwards, Linda N., 1994. "The status of women in Japan: Has the equal employment opportunity law made a difference?," Journal of Asian Economics, Elsevier, vol. 5(2), pages 217-240.
    6. Claudia Olivetti & Barbara Petrongolo, 2008. "Unequal Pay or Unequal Employment? A Cross-Country Analysis of Gender Gaps," Journal of Labor Economics, University of Chicago Press, vol. 26(4), pages 621-654, October.
    7. Yuji Genda, 2003. "Who Really Lost Jobs in Japan? Youth Employment in an Aging Japanese Society," NBER Chapters,in: Labor Markets and Firm Benefit Policies in Japan and the United States, pages 103-134 National Bureau of Economic Research, Inc.
    8. Edwards, Linda N. & Pasquale, Margaret K., 2003. "Women's higher education in Japan: Family background, economic factors, and the Equal Employment Opportunity Law," Journal of the Japanese and International Economies, Elsevier, vol. 17(1), pages 1-32, March.
    9. Jennifer Hunt, 2002. "The Transition in East Germany: When Is a Ten-Point Fall in the Gender Wage Gap Bad News?," Journal of Labor Economics, University of Chicago Press, vol. 20(1), pages 148-169, January.
    10. Blau, Francine D & Kahn, Lawrence M, 1997. "Swimming Upstream: Trends in the Gender Wage Differential in 1980s," Journal of Labor Economics, University of Chicago Press, vol. 15(1), pages 1-42, January.
    11. Casey B. Mulligan & Yona Rubinstein, 2008. "Selection, Investment, and Women's Relative Wages Over Time," The Quarterly Journal of Economics, Oxford University Press, vol. 123(3), pages 1061-1110.
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    Citations

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    Cited by:

    1. Linda N. Edwards & Takuya Hasebe & Tadashi Sakai, 2015. "Education and Marriage Decisions of Japanese Women and the Role of the Equal Employment Opportunity Act," Working Papers 7, City University of New York Graduate Center, Ph.D. Program in Economics.
    2. Yoichi AraiAuthor-Name: Hidehiko Ichimura & Daiji Kawaguchi, "undated". "The educational upgrading of Japanese youth, 1982-2007: Are Japanese youth ready for structural reforms?," Working Papers e78, Tokyo Center for Economic Research.
    3. Nobuko Nagase & Mary C. Brinton, 2017. "The gender division of labor and second births: Labor market institutions and fertility in Japan," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 36(11), pages 339-370, January.
    4. Kato, Takao & Kodama, Naomi, 2015. "Work-Life Balance Practices, Performance-Related Pay, and Gender Equality in the Workplace: Evidence from Japan," IZA Discussion Papers 9379, Institute for the Study of Labor (IZA).
    5. KAWAGUCHI Daiji & OWAN Hideo & TAKAHASHI Kazuteru, 2016. "Working Hours, Promotion, and Gender Gaps in the Workplace," Discussion papers 16060, Research Institute of Economy, Trade and Industry (RIETI).
    6. Arai, Yoichi & Ichimura, Hidehiko & Kawaguchi, Daiji, 2015. "The educational upgrading of Japanese youth, 1982–2007: Are all Japanese youth ready for structural reforms?," Journal of the Japanese and International Economies, Elsevier, vol. 37(C), pages 100-126.
    7. Kato, Takao & Kodama, Naomi, 2014. "Labor Market Deregulation and Female Employment: Evidence from a Natural Experiment in Japan," IZA Discussion Papers 8189, Institute for the Study of Labor (IZA).
    8. Hiroyuki Okamuro & Kenta Ikeuchi, 2012. "Work-Life Balance and Gender Differences in Self-Employment Income during the Start-up Stage in Japan," Global COE Hi-Stat Discussion Paper Series gd12-260, Institute of Economic Research, Hitotsubashi University.
    9. Abe, Yukiko, 2011. "The Equal Employment Opportunity Law and labor force behavior of women in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 25(1), pages 39-55, March.
    10. Georg D. BLIND & Stefania LOTTANTI VON MANDACH, 2015. "Decades not Lost, but Won: Increased Employment, Higher Wages, and More Equal Opportunities in the Japanese Labour Market," Social Science Japan Journal, Oxford University Press, vol. 18(1), pages 63-88.
    11. repec:eti:dpaper:13038 is not listed on IDEAS
    12. Masahiro Endoh, 2016. "The Effect of Offshoring on Skill Premiums: Evidence from Japanese Matched Worker-Firm Data," Keio-IES Discussion Paper Series 2016-005, Institute for Economics Studies, Keio University.
    13. Onozuka, Yuki, 2016. "The gender wage gap and sample selection in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 39(C), pages 53-72.
    14. KATO Takao & KODAMA Naomi, 2016. "Corporate Social Responsibility and Gender Diversity in the Workplace: Evidence from Japan," Discussion papers 16063, Research Institute of Economy, Trade and Industry (RIETI).

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