The Part-Time Pay Penalty for Women in Britain
Women in Britain who work part-time have, on average, hourly earnings about 25% less than that of women working full-time. This gap has widened greatly over the past 30 years. This paper tries to explain this part-time pay penalty. It shows that a sizeable part of the penalty can be explained by the differing characteristics pf FT and PT women. Inclusion of standard demographics halves the estimate of the pay penalty. But inclusion of occupation makes the pay penalty very small, suggesting that almost the entire unexplained gap is due to occupational segregation. The rise in the pay penalty over time is partly a result of a rise in occupational segregation and partly the general rise in wage inequality. Policies to reduce the pay penalty have had little effect and it is likely that it will not change much unless better jobs can be made available on a part-time basis.
|Date of creation:||Nov 2006|
|Date of revision:|
|Publication status:||published in: Economic Journal, 2008, 118 (526), F28-F51|
|Contact details of provider:|| Postal: |
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lundberg, Shelly J, 1985.
"Tied Wage-Hours Offers and the Endogeneity of Wages,"
The Review of Economics and Statistics,
MIT Press, vol. 67(3), pages 405-10, August.
- Shelly J. Lundberg, 1984. "Tied Wage-Hours Offers and the Endogeneity of Wages," NBER Working Papers 1431, National Bureau of Economic Research, Inc.
- Ethel B. Jones & James E. Long, 1979. "Part-Week Work and Human Capital Investment by Married Women," Journal of Human Resources, University of Wisconsin Press, vol. 14(4), pages 579-594.
- John F. Ermisch & Robert E. Wright, 1993. "Wage Offers and Full-Time and Part-Time Employment by British Women," Journal of Human Resources, University of Wisconsin Press, vol. 28(1), pages 111-133.
- Barzel, Yoram, 1973. "The Determination of Daily Hours and Wages," The Quarterly Journal of Economics, MIT Press, vol. 87(2), pages 220-38, May.
- Francine D. Blau & Lawrence M. Kahn, 2003.
"Understanding International Differences in the Gender Pay Gap,"
Journal of Labor Economics,
University of Chicago Press, vol. 21(1), pages 106-144, January.
- Francine D. Blau & Lawrence M. Kahn, 2001. "Understanding International Differences in the Gender Pay Gap," NBER Working Papers 8200, National Bureau of Economic Research, Inc.
- Moffitt, Robert, 1984. "The Estimation of a Joint Wage-Hours Labor Supply Model," Journal of Labor Economics, University of Chicago Press, vol. 2(4), pages 550-66, October.
- Diane M. Houston & Gillian Marks, 2003. "The Role of Planning and Workplace Support in Returning to Work after Maternity Leave," British Journal of Industrial Relations, London School of Economics, vol. 41(2), pages 197-214, 06.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp2419. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak)
If references are entirely missing, you can add them using this form.