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Job Satisfaction, Work Characteristics, and the Gender Wage Gap in Europe: Exploring Productivity and Compensation Effects

Author

Listed:
  • Fernanda Mazzotta

    (Department of Economics and Statistics - University of Salerno - Italy and CELPE)

  • Anna Papaccio

    (Department of Political and Communication Sciences (DiSPC), University of Salerno - Italy and CELPE)

  • Lavinia Parisi

    (Department of Economics and Statistics - University of Salerno - Italy and CELPE)

Abstract

This paper examines how intrinsic and extrinsic job features influence job satisfaction and the gender pay gap in Europe, testing compensating and productivity effects. Using 2007–2020 SHARE data, random effects probit and wage models, and a gender-specific Oaxaca–Blinder decomposition, we find women earn about 26% less than men, yet report similar satisfaction levels, providing no evidence of a gender satisfaction paradox. Enhancing intrinsic job quality—career prospects, recognition, and autonomy—raises satisfaction and aligns with higher productivity outcomes. Productivity and compensating effects differ by gender and region, reflecting structural and cultural inequalities across European labour markets.

Suggested Citation

  • Fernanda Mazzotta & Anna Papaccio & Lavinia Parisi, 2025. "Job Satisfaction, Work Characteristics, and the Gender Wage Gap in Europe: Exploring Productivity and Compensation Effects," CELPE Discussion Papers 175, CELPE - CEnter for Labor and Political Economics, University of Salerno, Italy.
  • Handle: RePEc:sal:celpdp:021731
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    Keywords

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    JEL classification:

    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management

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