Primary Cause The primary cause of the Gender Pay Disparity is the public policy which is a voluntary decision of the company termed as company norms. The plans are formed in such a manner that women are likely to remain dependent on the comfort of the liquidation and total rewards, especially in their old age. This also hurts the valuable output of a women employee.
The gender pay parity is classified into different levels within the organization.Like For Like Gap- It is common to find the remuneration difference between men and women doing the work of equal values and performance standard. For example- Two senior engineers of the same division in the same organization are compared.
By Level Gap- This is defined as the pay gaps between women and men doing the same or comparable work, doing the same responsibilities, at the same level in the organizational hierarchy. For example, you are comparing individuals within groups of standards such as Key Management Personnel, Managers and other professionals.
Organization Wide Gap- Gender pay gap is the difference between the average compensation of men and women across the whole organization. It has been seen across the entire organization and at every level. There are many causes of the gender pay gap in an organization considered by the HR department while hiring the employees; the gender distinction is made post the selection process.Notably, gender disparity begins the moment a woman enters the workplace, which continues during the compensation management process. There are various external factors for the gender pay gap such as the following. Discrimination in the hiring process -As per the latest corporate culture, almost every HR of the company prefers male candidate over female candidates. Different Jobs and Industries -You can still find some places and industries which are purely dominated by males. Moreover, they have a salary benchmarking for males and females. Inordinate professional and personal life- It has been a taboo in the society that the domestic work belongs to the women only which affects their professional life. Flexibility- The women have to carry both the responsibility. She has to take care of their family and have to balance her professional life as well. Since the workplace doesn’t provide flexible working hours, the performance is affected resulting in the pay gap for the women. Also Read - How employee compensation impacts company performance? Women – an outsider - Women are generally considered to be an outsider in the workforce. This factor mainly impacts their career graph, progression and the opportunities given to them. Lack of leadership skills - It is a myth that women lack courage, leadership and drive which affects the work management skills. This is also a factor in creating gender pay parity. However, the stats state that female provides better results than their male counterparts. These perceptions along with the above-discussed factors will cause the gender pay parity. However, in spite of these facts, it has resulted in the researches that the females are better employers with better behavioural and management skills in comparison to their male counterparts and deserves better compensation and benefits. People Also Searched: How to Determine Salary Increases - Paying & Rewarding Employees Executive Compensation: It's not how much you pay, but how?
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