Closing the gender pay gap in the workforce

Source: The post is based on the article “Closing the gender pay gap in the workforce” published in “The Hindu” on 16th October 2023.

Syllabus: GS1- Society- Woman empowerment & GS3- Economy- Employment

News: The article discusses the work of Claudia Goldin on gender inequality in the job market. Goldin argues that women’s lower pay is due to demanding job hours that clash with parental duties. She suggests work environments need changes for better work-life balance. The goal is equal labor market outcomes for all genders.

Who is Claudia Goldin?

Claudia Goldin is the 2023 Nobel Prize winner in Economics. She has spent over half a century researching and voicing the issues faced by women in the American job market. Standing as the President of the American Economic Association in 2013-14, she challenged prevailing beliefs about women’s roles in the economy.

What did Claudia Goldin discover about women in the workplace?

Economic Shifts and Women’s Jobs: As the U.S. economy moved from agriculture to services, women began finding jobs in offices, schools, and hospitals.

Education vs. Earnings: Even when women surpassed men in education and didn’t settle for typical “female jobs”, they consistently earned less.

Job Structures: The predominant job market favored roles that required long, unpredictable hours, making it difficult for women balancing work and parental duties.

The “Greedy Work” Concept: Goldin introduced the term to describe jobs demanding extreme efforts in return for high salaries and promotions. Such roles were often incompatible with the responsibilities women commonly undertook at home.

Gender and Household Roles: Traditional gender roles often meant women took on more family responsibilities, limiting their ability to pursue high-profile careers.

What challenges do women face in jobs?

The “Mommy Track”: Women sometimes have to choose the slower career path, known as the “mommy track”, which prioritizes family over high-profile careers, resulting in missed opportunities.

Gendered Expectations: Traditional gender roles often assign more family responsibilities to women, making it tough for them to fully concentrate on their careers.

Income Inequality: Rising income disparity can lead families to prioritize overall family income over gender balance, pushing women into roles with fewer demands and consequently lesser pay.

How can India benefit from reshaping the job environment?

Shared Household Duties: Encouraging both genders to participate equally in household and childcare can free up women to contribute more to the workforce.

Improved Work Structures: By ensuring workplaces respect workers’ time and don’t push for unnecessarily long hours, both men and women can achieve a better work-life balance.

Increased Productivity: Research, like that from Stanford economist John Pencavel, indicates that longer hours don’t always mean more productivity. Better work schedules can lead to enhanced efficiency and fewer errors.

Closer Work-Life Integration: Reducing distances between homes and workplaces, and adjusting school demands, can save commuting time and improve overall well-being.

Gender Equal Outcomes: Such changes can help India move closer to the gender convergence in labor market outcomes that Claudia Goldin advocates.

What should be done?

Redefine Work Structures: Workplaces should be restructured to respect workers’ time, emphasizing moderate and predictable hours rather than long, erratic schedules.

Encourage Shared Responsibilities: Men should be encouraged to participate equally in household chores and childcare, balancing the load often borne by women.

Limit “Greedy Work” Culture: Reduce the prevalence of jobs demanding extreme hours and efforts. This can help balance gender roles in the workforce.

Rethink Educational Demands: Schools should limit reliance on parents for homework supervision, allowing parents more flexibility in managing work and family life.

Urban Planning: Develop urban areas to reduce the distance between homes and workplaces, cutting down commuting time.

Promote Supportive Institutions: Establish institutions that foster a balanced work-life environment, paving the way for equal gender representation in the job market.