Transcript Are You Minding The Gap? The Gender Gap

Are You Minding The Gap?
The Gender Gap
November 2, 2016
Fatma Abdel-Raouf
Pat Buhler
The Gaps
• The pay gap
• The leadership
ghttp://www.pbs.org/wnet/need-to-know/economy/bridging-the-gender-wage-gap/835/ap
The State of the Gap
• The problem isn’t going away . . . .
118 years to close the gap!
http://www.intelligentinsurer.com/article/closing-the-gaps
The Breadth of the Gap
• This is everyone’s problem!
• Global Annual GDP
http://businesstech.co.za/news/general/31803/minimum-wages-around-the-world/
Causes of The Gap
• Distinction between explainable and
unexplainable factors . . . . .
Confidence
http://www.huffingtonpost.ca/2016/03/08/canada-gender-pay-gap_n_9393924.html
The Impact on the Gap
• Willingness and ability to negotiate salary
http://pathirst.com/workshops-training/effective-negotiation-skills/
A Picture of the Gap
• AAUW report
http://history.aauw.org/aauw-research/1991-shortchanging-girls
The Progress of the Gap
• The times they are a changin’ . . . .
- NOT!
http://chordstabslyrics.com/album/bob-dylan/the-times-they-are-a-changin
The Research
“Men are more likely than women students to
rate their academic abilities highly….”
- Sander and Sanders
STEM confidence levels
- Litzler, Samuelson, and Loral
http://www.gettyimages.com/detail/video/college-students-in-class-stock-footage/483766707
The Bottom Line
• Women underestimate their abilities
• A self-perpetuating cycle
http://kristiholl.net/writers-blog/2013/08/new-twist-on-the-thought-feeling-behavior-writing-cycle/
The Story is in the Numbers . . .
https://gencodegenes.wordpress.com/index/colourful-preschool-numbers/
The Gender Pay Gap: Why So Many
Numbers?
The Gender Pay Gap: Why So
Many Numbers?
How wide-spread is the gender pay
gap is?
Gender Pay Gap by Race:
F/M Earnings Ratio in 2014 by Race
82%
White
90%
89%
78%
Black or African
American
Hispanic or
Latino
Asian
Gender Pay Gap by Race:
% of White Males
WF
BM
BF
HM
HF
Asian M
Asian F
81%
74%
67%
69%
62%
123%
95%
Gender Pay Gap by Age Group:
F/M Earnings Ratio
F/M EARNINGS RATIO IN 2014 BY AGE GROUP
92
90
81
77
76
79
16 -24 25 - 34 35 - 44 45 - 54 55 - 64
65
years years years years years years
and
older
Gender Pay Gap by Marital Status:
F/M EARNINGS RATIO IN 2014 BY MARITAL STATUS
94
F/M Earnings Ratio
79
Naver Married
Married,
Spouse
Present
83
Divorced
82
Separated
77
Widowed
Gender Pay Gap by Educational
Attainment:
F/M Earnings Ratio in 2014 by Educational
Background
79%
77%
76%
77%
76%
73%
Less than
High
Some Bachelor's Bachelor's Advanced
high school school college or degree degree and degree
diploma graduates, associate
only
higher
no college degree
The Gender Pay Gap in Management Jobs:
F/M Earnings and
Employment Ratios, CEOs
2015
82%
37%
F/M Earnings
Ratio,CEOs
F/M
Employment
Ratio, CEOs
General and Operations Managers:
F/M Earnings and Employment
Ratios, 2015
74%
33%
F/M Earnings
Ratio
F/M
Employment
Ratio
Marketing and Sales Managers:
F/M Earnings and
Employment Ratios, 2015
78%
66%
F/M Earnings
F/M
Ratio
Employment
Ratio
F/M EARNINGS AND
EMPLOYMENT RATIOS, 2015
85%
65%
274%
F/M EARNINGS AND
EMPLOYMENT RATIOS, 2015
Financial Managers
104%
Human Resources Managers
F/M Earnings
F/M
Ratio
Employment
Ratio
F/M Earnings
F/M
Ratio
Employment
Ratio
The Female/Male Earnings Ratio in
Professional Jobs:
F/M Earnings Ratio, 2015
86%
87%
83%
81%
Computer
systems
analysts
Computer
programmers
Software
developers
Web
developers
The Female/Male Employment Ratio in
Professional Jobs:
F/M Employment Ratio, 2015
54%
53%
26%
Computer
systems
analysts
Computer
programmers
22%
Software
developers
Web
developers
F/M Earnings Ratio, 2015
90%
89%
88%
81%
Lawyers
Postsecondary
teachers
Elementary
Secondary
and middle school teachers
school teachers
F/M Employment Ratio, 2015
417%
139%
60%
Lawyers
78%
Postsecondary Elementary and Secondary
teachers
middle school school teachers
teachers
F/M Earnings Ratio, 2015
90%
90%
86%
80%
Pharmacists
Physicians
Physical
and surgeons therapists
Registered
nurses
F/M Employment Ratio, 2015
757%
110%
Pharmacists
220%
62%
Physicians
Physical
and surgeons therapists
Registered
nurses
Women are Underrepresented in the Corporate
Pipeline:
% of Employees in the Corporate
Pipeline by Gender, 2016
Position
Entry Level
Manager
Sr. Manager/
Director
VP
SVP
C-Suite
M
F
54% 46%
63% 37%
67%
71%
76%
81%
33%
29%
24%
19%
It is Even Worse for Women of Color:
% of Employees in the Corporate
Pipeline, 2016
Position
Male
Femal
WM of
WF es of
Color
Color
Entry Level 35% 16% 32% 17%
Manager
45% 15% 29% 12%
Sr. Manager
52% 13% 27%
/ Director
8%
VP
60% 11% 23%
6%
SVP
66% 10% 20%
4%
C-Suite
71% 10% 17%
3%
Gender Pay Gap by States:
2014 Top and Bottom 10 States, F/M Earnings Ratio
68
78 78 78 77 77 76 75 74 73
82.5
96 93
90 89 89 88 87 87 86 86
WYOMING
UTAH
MONTANA
ALABAMA
KENTUCKY
NEW JERSEY
WEST VIRGINIA
NORTH DAKOTA
LOUISIANA
NEW MEXICO
U.S. OVERALL
NORTH CAROLINA
ILLINOIS
ARKANSAS
MARYLAND
DELAWARE
VERMONT
CALIFORNIA
TENNESSEE
HAWAII
D.C.
How Much Money are Women Losing Over their
Working Life Due to Gender Pay Inequality?
2014, $10,762 x 40 years of work = a whopping $430,480 of losses!
255,040
264,960
271,960
NORTH CARLOINA
HAWAII
NEW YORK
581,480
650,960
663,440
671,840
WYOMING
UTAH
LOUISIANA
542,600
NORTH DAKOTA
NEW HAMPSHIRE
$430,480
252,040
NEVADA
UNITED STATES
$248,120
FLORIDA
Top and Bottom 5 States for Women’s Losses
Over Their Working Life, 2014:
Women's Losses Over their
Working Life, 2014
477,080
$344,160
387,920
420,280
MD (15) DE (24) PA (30) NJ (42)
F/M Earnings Ratio By Education in
Wilmington, DE in 2014
84%
Overall
81%
88%
70%
Less than high High school Some College
school
graduates or associate's
(includes
degree
equivalency)
74%
Bachelor's
degree
60%
graduate or
professional
degree
Women's Losses Over Their Working Life
By Education in Wilmington, DE in 2014
1,307,240
636,880
490,440
227,960
OVERALL
141,360
HIGH SCHOOL SOME COLLEGE BACHELOR'S GRADUATE OR
GRADUATES
OR
DEGREE
PROFESSIONAL
ASSOCIATE'S
DEGREE
DEGREE
2015 Poverty Rates and Gender Gap:
2015 Poverty Rate
14.2%
10.5%
10.3%
7%
18 to 64 years old
Women
65 and older
Men
The
gender
gap
exists
in
poverty
rates as
well.
Gender Pay Gap and Poverty:
U.S.
DE
Current poverty rate
PA
MD
Poverty Rate with Equal Pay
4.4%
2.1%
2.0%
4.6%
3.8%
7.4%
3.4%
4.0%
7.5%
8.2%
POVERTY RATE AMONG ALL WORKING WOMEN IN 2014
NJ
Gender Pay Gap and Poverty:
U.S.
DE
PA
MD
Current poverty rate
8%
18%
7%
15%
12%
29%
13%
16%
28%
29%
Poverty Rate Among Single Working
Mothers In 2014
NJ
3.4%
3.0%
DE
3.1%
U.S.
2.3%
2.8%
Gender Pay Gap and Economic
Growth:
PA
MD
NJ
Percent of State's GDP
The loss to the U.S. economy is about $482 billion (2.8% of the U.S. GDP in 2014) which could
have been added if the gender pay gap is closed! States and the U.S. can increase their growth
rate by 2 to 3% by simply closing the gender pay gap!
Gender Pay Gap and Economic
Growth:
It adds up! A report by the McKinsey Global Institute (MGI)
• Closing the gender gap can
grow the U.S. Economy by
$2.1 trillion in GDP by 2025.
• Every state and city in the U.S. can add at
least 5% to their GDP.
• 1/2 of the U.S. states can add > 10% to
their GDP and the 50 largest cities can add
6 – 13%.
Gender Gap and Company’s Profits:
Companies with more women on the board of directors
perform better financially:
1. Return on Equity (ROE): Companies with the highest % of
women board of directors (WBD) outperformed those
with the least WBD by 53%.
2. Return on Sales (ROS): Companies with the highest
percentages WBD outperformed those with the least
WBD by 42%.
3. Return on Invested Capital (ROIC): Companies with the
highest percentages of WBD outperformed those with
the least by 66%.
Source: Catalyst’s Report “The Bottom Line: Corporate Performance and Women’s Representation on Boards.” 2007.
Is Three a
Charm?
Catalyst’s report, companies with three
or more WBD have :
1.ROE: 16.7% vs. average of 11.5%
2.ROS: 16.8% vs. average of 11.5%
3.ROIC: 10% vs. average of 6.2%
Women and the C-Suite Jobs:
McKinsey & Company and LeanIn.org
examined responses from 30,000
employees at 118 companies and
found that women are
underrepresented in the top
management and C-suite jobs. At the
current rate, it will take:
 25 years to achieve gender
parity in SVP jobs
 More than 100 years to
achieve gender parity in the
C-suite jobs!
“Stunning lack of women in
corporate leadership roles
worldwide” CNNMoney.com, February 8, 2016
Peterson Institute for International Economics examined 22,000
publicly traded companies in 91 countries and found:
• About 1/3 of the companies had NO WOMEN on their
boards or in any C-suite jobs.
• 60% of the companies had NO FEMALE board members.
• 50% of the companies had NO FEMALE top executives.
• More than 95% of the companies did not have a
FEMALE CEO!
Companies with at least 30% of their executives as females had
HIGHER PROFITS than those with less females.
IWPR State Rankings: Employment
and Earnings
Rank
1
State
DC
Grade
A
Rank
47
State
Arkansas
Grade
F
2
3
4
MD
MA
NJ
B+
B+
B
48
49
50
Mississippi
Louisiana
Idaho
F
F
F
5
6
CT
NY
B
B
51
West Virginia
F
12
23
DE
PA
B
C+
IWPR State Rankings: Poverty and
Opportunity
Rank
1
2
3
4
5
State Grade
DC
AMD
B+
MA
B+
CT
B
Hawaii
B
11
19
NJ
DE
BC
21
PA
C
Rank
47
48
49
50
51
State
Grade
Louisiana
DKentucky
DWest Virginia DArkansas
F
Mississippi
F
IWPR State Rankings: Health and
Well-Being
Rank
State
Grade Rank
State
Grade
1
Minnesota
A47
Arkansas
D2
Hawaii
B+
48
DC
F
North Dakota
3
B+
49
Louisiana
F
4
Utah
B
50
Alabama
F
5
Nebraska
B
51 Mississippi
F
13
26
31
34
NJ
MD
PA
DE
C+
C
CD+
IWPR State Rankings: Work and
Family
Rank
State
Grade Rank
State
Grade
1
VY
B
47
Wyoming
D2
CA
B
48 Mississippi
D3
DC
B
49
Montana
F
4
NJ
B50
Utah
F
5
Rhode Island B51
Indiana
F
22
25
33
MD
DE
PA
C
CD+
Adjusted Gender Pay Gap:
According to Glassdoor.com, the F/M earnings
ratio is 76%. After controlling for
•
•
•
•
•
Education
Years of experience
Job title
Employer and location
Age
The F/M earnings ratio increases to 95%, reducing
the gap from 24% to 5%. Other studies found the
adjusted pay gap is between 2 to 9%.
Adjusted Gender Pay Gap by
Industry, Glassdoor 2016
AEROSPACE & DEFENSE
AGRICULTURE & FORESTRY
BIOTECH & PHARMACEUTICALS
TRAVEL & TOURISM
RESTAURANTS, BARS & FOOD SERVICES
EDUCATION
MANUFACTURING
ACCOUNTING & LEGAL
CONSUMER SERVICES
TELECOMMUNICATIONS
GOVERNMENT
BUSINESS SERVICES
OIL, GAS, ENERGY & UTILITIES
NON-PROFIT
REAL ESTATE
INFORMATION TECHNOLOGY
CONSTRUCTION, REPAIR & MAINTENANCE
RETAIL
FINANCE
ARTS, ENTERTAINMENT & RECREATION
MEDIA
TRANSPORTATION & LOGISTICS
MINING & METALS
INSURANCE
HEALTHCARE
97.5
97.5
97
97
96.8
96.7
96
95.5
95.5
95.4
95.3
94.5
94.4
94.3
94.2
94.1
94.1
94.1
93.6
93.4
93.4
93.3
93.2
92.8
92.8
90
91
92
93
94
95
96
97
98
Gendered Phrases in
Job Posts and Gender
Hire:
The Use of Gendered Phrases in Job Posts Predicts Gender Hire
4.6
5.2
2.8
2.7
Feminine Phrases
Masculine Phrases
Gender
Bias:
• Women get interrupted more often than
men.
• Women are asked more challenging
questions than men.
• Women’s statements are questioned more
often than men’s.
The Call to Action
• Raise awareness
• Promote transparency
• Offer coaching
http://blog.bluefrogdm.com/Blog/bid/311729/7-Techniques-for-an-Effective-Call-to-Action
Raise Awareness
•
•
•
•
70 vs. 12 (McKinsey)
Track metrics
Set gender targets
Assess organizational attitudes
http://www.intelligentinsurer.com/article/closing-the-gaps
Promote Transparency
• Permission and confidence
• “Salary negotiable” in ads
• Process for pay determination
•
https://www.linkedin.com/pulse/whats-usually-negotiable-job-offer-freeman-bs-che-ms-chem-mba
Offer Coaching
• Mentors
• Provide male sponsorships
• Negotiation workshops
http://www.intelligentinsurer.com/article/closing-the-gaps
A Caution
• The iron law of responsibility . . .
https://leaderful.wordpress.com/2013/07/15/the-iron-law-of-responsibility/
http://www.ohsinc.com/info/state-drug-testing-laws/
No Joking Matter
• $1.7 million
https://wfmu.org/playlists/shows/34912
The State of the Gap and You
• What will you do to mind the gap?
http://www.huffingtonpost.ca/2016/03/08/canada-gender-pay-gap_n_9393924.html
Thank you!
• [email protected]
• [email protected]