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Pay transparency and gender equality

Author

Listed:
  • Blundell, Jack
  • Duchini, Emma
  • Simion, Ştefania
  • Turrell, Arthur

Abstract

Since 2018, UK firms with at least 250 employees have been mandated to publicly disclose gender equality indicators. Exploiting variations in this mandate across firm size and time, we show that pay transparency closes 19 percent of the gender pay gap by reducing men’s pay growth. By combining different sources of data, we also provide suggestive evidence that the public availability of the equality indicators enhances public scrutiny. In turn, employers more exposed to public scrutiny seem to reduce their gender pay gap the most.

Suggested Citation

  • Blundell, Jack & Duchini, Emma & Simion, Ştefania & Turrell, Arthur, 2025. "Pay transparency and gender equality," LSE Research Online Documents on Economics 129500, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:129500
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    File URL: http://eprints.lse.ac.uk/129500/
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    Keywords

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    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
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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