This crisis shows how critically important it is to close the gender pay gap
Today is Equal Pay Day. Every year we take this opportunity to raise awareness of the gender pay gap and call on companies to address pay inequities—but this year feels different. It’s not business as usual. We’re in the middle of an economic crisis, and women are facing bigger economic threats.
The gender pay gap feels more urgent than ever. It undermines women’s financial security, and right now, that security is under threat.
Women are paid less than men
On average, women are paid 18% less than men in the U.S.
It’s even worse for Black women and Latinas, who are paid 38% and 45% less than white men on average. And globally, the gender pay gap is 23%.
This loss of income adds up
The average working woman loses $10,122 as a result of the gender pay gap in the U.S. every year. And for some women, it adds up to over a million dollars over a 40-year career:
Less pay leads to less savings
Women are losing thousands—even millions—of dollars to the gender pay gap. And that lost income makes it harder for women to protect themselves and their families from an economic crisis. On average, women have 30% less money in savings than men. That’s 30% less for health emergencies—like an unexpected trip to hospital. It’s 30% less for economic emergencies—like an unexpected job loss.
Women are more likely to lose their jobs
Women are over-represented in the low-wage workforce, which means they’re more likely to lose their jobs when their workplaces—such as restaurants, hotels, and nail salons—shut down to contain the spread of the virus. And if they lose their job and qualify for unemployment benefits, they get less because they were paid less in the first place. It’s a vicious cycle. And we need to put an end to it.
This is not just a health crisis
This is an economic crisis too, and it’s hitting women especially hard. Now, more than ever, we need to recognize the impact of the gender pay gap on the financial security of women and their families. Because our ability to survive this crisis shouldn’t depend on our gender.
Family Therapist, Specialist Gender, Culture, Life Enhancing Skills for Women, Families, Relationships, Mindfulness, Author. #SelfCare #Relationships #Communication #Mental Health, #EQuality, #GGAF #United Way award
4yThank you Rachel for championing equal pay, equality. The difference between the pay gap can impact in surprising ways, as a heightened risk to women’s health, not just in America. WHO has found that income inequity is a big challenge to women’s mental health. Appreciate your focus, highlighting equality. 🤗💕🙏
Production Engineer at Meta
4yThe Gender Pay Gap has been debunked multiple times since the 1970s. Women are not paid 18% less than men, women earn 18% less than men. The real comparison, as pointed out by Thomas Sowell is unmarried women vs. unmarried men, in which case women actually earn more, at least in the beginning. No one takes a univariate analysis seriously. You have to account for multiple factors, including personal choices, like work life balance. Men are twice as likely as women to work more than 40 hours a week. And of men and women working 40+ hours a week, men are 2.3 times as likely to work 60+ hours per week. What is most interesting is that while women work substantially less than men, in some cases they are paid up to 107% as much for the same comparable hours (those workers working < 40 hours per week). Controlling for hours worked reduced the pay gap average from 18% to 11%, that's just controlling for 1 additional variable. Information: Bureau of Labor Statistics: https://www.bls.gov/opub/reports/womens-earnings/2017/pdf/home.pdf
Founder & CEO, Flow Community® | Equity in Career Networks & Opportunities
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