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The Gender Pay Gap for Private Sector Employees in Canada and Britain

  • Marie Drolet
  • Karen Mumford

This paper uses British and Canadian linked employer-employee data to investigate the importance of the workplace for the gender wage gap. Implementing a novel decomposition approach, we find substantial unexplained wage gaps in the private sector of both countries. Whilst this wage differential is partially offset by women, on average, receiving a workplace specific return which is relatively higher than that paid to men, a substantial and significant unexplained within workplace wage gap remains which is considerably higher in Britain than in Canada. The results are consistent with a prima facie argument that country-specific factors, such as the wage setting environment, are important determinants in explaining the relative size of the gender wage gap.

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Paper provided by Department of Economics, University of York in its series Discussion Papers with number 09/28.

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Handle: RePEc:yor:yorken:09/28
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  23. Marie Drolet, 2002. "Can the workplace explain Canadian gender pay differentials?," New Zealand Economic Papers, Taylor & Francis Journals, vol. 36(1), pages 75-77.
  24. Karen Mumford & Peter N. Smith, 2003. "Determinants of current job tenure: a cross country comparison," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 6(3), pages 435-451, September.
  25. Linda Dickens, 2007. "The Road is Long: Thirty Years of Equality Legislation in Britain," British Journal of Industrial Relations, London School of Economics, vol. 45(3), pages 463-494, 09.
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