Effects of Gender and Family on Earnings and Career Paths: A Cross-Cultural Study of Europe, the USA and Japan

This study takes a cross-cultural approach to the examination of gender-based pay differentials and career paths, particularly comparing Europe, the USA and Japan. Results indicate that despite increased participation of women in the workforce and their substantial inroads into managerial and professional jobs, gender-based pay gaps persist across borders. However, patterns of the work—family relationship and the impact of gender on earnings differ considerably among industrial societies. Data show that the magnitude of gender-based pay differentials is unrelated to a country’s degree of economic development among the Western industrial societies. Factors that influence pay equity and career paths range from contextual and organizational variables such as cultural norms, types of welfare state regimes and corporate practices related to individual differences in gender, family, education and career choices. The “business case” argument for gender equity and family-friendly policies is linked to the national context. Cultural norms about gender roles and types of welfare state regimes pertaining to the role of the state in statutory provisions help explain trends and developments in gender-based pay adjustments and variations at the firm level. Gender pay gaps are likely to be larger — and to be narrowed more slowly — in masculinity-oriented societies than in femininity-oriented societies.