In the U.S., Asians are commonly viewed as the "model minority" because of their economic prosperity. We challenge this rosy view by revealing that certain Asian groups may be susceptible to lower ...starting salaries. In Study 1, we analyzed 19 class years of MBAs who accepted full-time job offers in the U.S. At first glance, Asians appeared to have starting salaries similarly high as Whites'. However, a striking gap emerged once we distinguished between East Asians (e.g., ethnic Chinese), Southeast Asians (e.g., ethnic Vietnamese), and South Asians (e.g., ethnic Indians): Whereas South Asians started with the highest salaries of all ethnicities, East/Southeast Asians were near the bottom. This salary gap was mediated by East/Southeast Asians' propensity to not negotiate due to higher relational concerns. Importantly, negotiation predicted higher salary for each of the three groups (East/Southeast Asians, South Asians, and Whites). In further support of negotiation propensity as a mechanism, we identified industry as a boundary condition: The salary gap was not observed for consulting jobs, where MBA starting salaries are typically standard and non-negotiable. The non-consulting salary gap between East/Southeast and South Asians was estimated to be $4,002/year, a sizable difference that can compound over career life. Study 2 found similar results in a non-MBA sample while further accounting for individuals' bargaining power (e.g., the number of alternative offers, the highest alternative offer). In revealing the differences between East/Southeast and South Asians, this research moves beyond the predominant West-versus-East paradigm and reveals a more complex reality underneath Asian prosperity.
Although research has examined the role of disability in the employment cycle, the compensation stage of this process has remained nascent. Drawing on the bias literature and expectancy violation ...theory, disability within the context of salary negotiation is examined across three consecutive studies. Study 1, a vignette experiment, found that fictitious job candidates with disabilities received similar initial salary offerings relative to fictitious job candidates without disabilities. Our finding of a pay similarity in the initial salary offering phase of the compensation process raises additional questions of whether those with disabilities ultimately receive lower wages than those without disabilities. To address this question, Study 2 used a computer-simulated negotiation to determine if pay differences among those with and without disabilities originate during the negotiation process. As expected, participants with disabilities negotiated lower salaries, and this effect was exacerbated when perceptions of disability discrimination were higher rather than lower. Finally, in an effort to better advise organizations and employees, Study 3 sought to understand if employees with disabilities experience different outcomes when negotiating salary. Using a vignette experimental design, we found that those with disabilities were offered lower final salaries than those without disabilities and that differences in both social and economic outcomes occur through a lower perceived likelihood that the job candidate will negotiate. Collectively, this research offers novel theoretical insights into the role of disability in the negotiation process and provides recommendations to those with disabilities and organizations on how to approach the compensation process.
The vast majority of the pay inequality in organizations comes from differences in pay between employees and their bosses. But are employees aware of these pay disparities? Are employees demotivated ...by this inequality? To address these questions, we conducted a natural field experiment with a sample of 2,060 employees from a multibillion-dollar corporation in Southeast Asia. We document large misperceptions among employees about the salaries of their managers and smaller but still significant misperceptions of the salaries of their peers, and we show that these perceptions have a significant causal effect on the employees’ own behavior.
To assess adherence to and individual or systematic deviations from predicted physician compensation by gender or race/ethnicity at a large academic medical center that uses a salary-only structured ...compensation model incorporating national benchmarks and clear standardized pay steps and increments.
All permanent staff physicians employed at Mayo Clinic medical practices in Minnesota, Arizona, and Florida who served in clinical roles as of January 2017. Each physician's pay, demographics, specialty, full-time equivalent status, benchmark pay for the specialty, leadership role(s), and other factors that may influence compensation within the plan were collected and analyzed. For each individual, the natural log of pay was used to determine predicted pay and 95% CI based on the structured compensation plan, compared with their actual salary.
Among 2845 physicians (861 women, 722 nonwhites), pay equity was affirmed in 96% (n=2730). Of the 80 physicians (2.8%) with higher and 35 (1.2%) with lower than predicted pay, there was no interaction with gender or race/ethnicity. More men (31.4%; 623 of 1984) than women (15.9%; 137 of 861) held or had held a compensable leadership position. More men (34.7%; 688 of 1984) than women (20.5%; 177 of 861) were represented in the most highly compensated specialties.
A structured compensation model was successfully applied to all physicians at a multisite large academic medical system and resulted in pay equity. However, achieving overall gender pay equality will only be fully realized when women achieve parity in the ranks of the most highly compensated specialties and in leadership roles.
Despite a recent increase in women and racial/ethnic minorities in U.S. post-secondary education, doctoral recipients from these groups report lower salaries than male and majority peers. With a ...longitudinal sample of approximately 10,000 respondents from the Survey of Doctorate Recipients, this study adds to the limited literature examining the effects of discipline, sector of employment, personal traits (e.g., marital status and number of children), and the interaction of gender and race on annual salary over the decade after degree completion, 1999–2008. Multilevel growth models reveal greater gaps in salary for women compared to men across all race/ethnic groups. The greatest rate of return was found for Asian respondents regardless of gender, and minority males had better returns than White male peers conditional on marriage. Implications for career choice, career paths, and the need for policies that address gender and race equity are discussed.
Business schools frequently utilize AACSB's Salary Survey (Staff Compensation and Demographic Survey, or the SCDS Report) to benchmark salaries being offered by other schools. While providing ...averages based on a national sample, the SCDS Report obscures differences that might exist in salary averages between masters-granting and doctoral-granting business schools. In this paper, we demonstrate how these differences inflate salary averages for masters-granting schools and present a step-by-step methodology that all participating AACSB-accredited schools that provide survey data can deploy to get salary data that are more peer-appropriate and reflective of market expectations.
Paid parental leave for surgeons in the United States Slama, Eliza M.; Johnson, Helen M.; Yu, Yangyang R. ...
The American journal of surgery,
January 2022, 2022-01-00, 20220101, Volume:
223, Issue:
1
Journal Article
Peer reviewed
Over the past several decades, the fields of medicine and surgery have experienced an increase in the number of trainees and attending physicians who are female.1 This is especially noted in ...subspecialties, such as acute care surgery, where a more shift-based schedule is emerging.2 Regardless, these disciplines are very demanding and require full professional commitment, which may affect decisions regarding having a family. In general, paid parental leave is lacking in the US, with, according to the Bureau of Labor Statistics, only 16% of private-industry employees being offered such policies.8 While larger companies (greater than 500 employees), those with higher salary (top 25%), and industries such as professional and technical, services, financial, and information, showed higher rates of paid parental leave, these still only have 25–41% of workers who have paid parental leave policies. ...a study comparing employees of pediatric hospitals to 118 Fortune 500 companies found no difference in length of paid parental leave; although the majority in both groups (84% and 82%) were offered less than 12 weeks.9 This is congruent with a national sample of working mothers in the US which showed the average length of parental leave (paid and unpaid) was ten weeks.10 On a global level, an international study including 1111 women surgeons from 53 countries found parental leave policies for women surgeons also varied greatly with little standardization in practices during and after pregnancy.11 While the US was similar to other countries with respect to availability of unpaid parental leave, it had the lowest rate of paid leave among all surveyed nations. Whereby paid parental leave will facilitate work-life integration and increase job satisfaction, employee retention will also increase, resulting in long-term cost savings.
Understanding how physicians respond to payment methods is crucial for designing effective incentives and enhancing the insurance system. Previous theoretical research has explored the effects of ...payment methods on physician behavior based on a two-level incentive path; however, empirical evidence to validate these theoretical frameworks is lacking. To address this research gap, we conducted a laboratory experiment to investigate physicians' behavioral responses to three types of internal salary incentives based on diagnosis-related-group (DRG) and fee-for-service (FFS).
A total of 150 medical students from Capital Medical University were recruited as participants. These subjects played the role of physicians in choosing the quantity of medical services for nine types of patients under three types of salary incentives-fixed wage, constant fixed wage with variable performance wage, and variable fixed wage with variable performance wage, of which performance wage referred to the payment method balance under FFS or DRG. We collected data on the quantities of medical services provided by the participants and analyzed the results using the Friedman test and the fixed effects model.
The results showed that a fixed wage level did not have a significant impact on physicians' behavior. However, the patients benefited more under the fixed wage compared to other salary incentives. In the case of a floating wage system, which consisted of a constant fixed wage and a variable performance wage from the payment method balance, an increase in performance wage led to a decrease in physicians' service provision under DRG but an increase under FFS. Consequently, this resulted in a decrease in patient benefit. When the salary level remained constant, but the composition of the salary varied, physicians' behavior changed slightly under FFS but not significantly under DRG. Additionally, patient benefits decreased as the ratio of performance wages increased under FFS.
While using payment method balance as physicians' salary may be effective in transferring incentives of payment methods to physicians through internal compensation frameworks, it should be used with caution, particularly when the measurement standard of care is imperfect.