Examining the Gender Pay Gap Among Youth: Insights from Egypt, Jordan, and Palestine

This paper examines the gender pay gap among youth aged 15–29 in Egypt, Jordan, and Palestine using the 2021 Labor Force Surveys. The analysis identifies the main determinants of wages for young men and women and estimates the extent of gender-based wage disparities. The Oaxaca-Blinder decomposition is used to distinguish the share of the wage gap explained by observable characteristics from the unexplained component, often associated with discrimination. Melly’s quantile decomposition is applied from the 10th to the 90th percentile. The findings show that youth wages are positively associated with higher education and professional experience. A significant gender pay gap favoring young men is found in Egypt and Palestine, with Egypt showing the largest disparity. In Jordan, the average gap is small and statistically insignificant, with young women slightly out-earning young men. However, the decomposition results reveal a significant positive unexplained component across all three countries, suggesting persistent disparities after accounting for observable factors. The quantile analysis further shows a “sticky floor†effect in Egypt and a “glass ceiling†effect in Palestine.