By not relying on salaries that reflect wage discrimination, employers will be required to offer jobs and compensation based on a prospective candidate’s skills, merit and demands of the job. This will require making a clear, market-based reasoning for pay, leading to workplace transparency and ultimately net a more informed applicant pool.
- While many factors contribute to the gender pay gap, including occupational segregation, patterns of work or even direct or indirect discrimination, the disparity in earnings between women and men from the 2015 U.S. Census Bureau is hard to ignore. U.S. women working full time year-round were paid just 80 percent of U.S. men's median earnings – a gap of 20 percent. In New York, that number was slightly better with an 89 percent median earnings ratio between genders - yet a gap still remains and can hardly be considered equal pay for equal work.
- Although the gender pay gap has narrowed over time, according the American Association of University Women (AAUW), women are not expected to reach pay equity until 2059. If change continues at a slower growth rate seen since 2001, the pay gap is not expected to close until 2152.
- People of color and people with disabilities face even larger pay gaps (according to AAUW):
- African American women – 66¢ of every the dollar earned by non-Hispanic white men
- Latina women -- 56¢ of every dollar earned by non-Hispanic white men
- Asian American women – 80¢ of every dollar earned by non-Hispanic white men
- However, the 2015 American Community Survey (ACS) by the U.S. Census Bureau found that both women and men of most racial minority groups were paid substantially less than non-Hispanic white workers.
- The ACS also shed light on earnings of people with disabilities. Those with disabilities made just 68 percent of what those without earned while within this population subset, there exists a large gender pay gap - median pay for women is 69 percent of that for men.
- In the long-term, lower career wages result in an even greater disparity in retirement income, namely through smaller Social Security benefits which are calculated based on an individual's earning history.
- Median income for women 65 years or older is 44 percent less than the median income for men in the same age group.
- Women who are 75 years or older are almost twice as likely as men to live in poverty.