Do Firms Respond to Gender Pay Gap Transparency? BENNEDSEN, MORTEN; SIMINTZI, ELENA; TSOUTSOURA, MARGARITA ...
The Journal of finance (New York),
August 2022, Letnik:
77, Številka:
4
Journal Article
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ABSTRACT
We examine the effect of pay transparency on the gender pay gap and firm outcomes. Using a 2006 legislation change in Denmark that requires firms to provide gender‐disaggregated wage ...statistics, detailed employee‐employer administrative data, and difference‐in‐differences and difference‐in‐discontinuities designs, we find that the law reduces the gender pay gap, primarily by slowing wage growth for male employees. The gender pay gap declines by 2 percentage points, or 13% relative to the prelegislation mean. Despite the reduction of the overall wage bill, the wage transparency mandate does not affect firm profitability, likely because of the offsetting effect of reduced firm productivity.
The issues of excessive CEO compensation and gender pay gaps garner much attention from management scholars and the general public. In this study, we integrate these topics and explore the complex ...interdependent nature of how CEOs influence directors’ evaluative perceptions about appropriate levels of CEO compensation and whether female and male CEOs do so in different ways. Drawing from role congruity theory and previous research on executive compensation, we use a configurational approach to identify how CEOs achieve high levels of compensation through different combinations of influence arising from their power, origin, tenure, similarities with evaluators, and organizational conditions. Using fuzzy set qualitative comparative analysis with a matched pair sample of female and male CEOs from 2010 to 2016, we find there are multiple configurations of influence conditions by which female and male CEOs achieve high compensation. Our inductive analysis, unpacking how these configurations differ between female and male CEOs, shows four distinct influence mechanisms: leveraging power and role empathy, trailblazer responsibility, leveraging power and similarity, and leveraging role empathy. These mechanisms highlight the ways influence conditions complement or mutually reinforce one another in different ways for female and male CEOs. Implications for theory and research about the unique challenges female executives face in achieving equitable treatment in the workplace are also discussed.
Ten countries have established quotas for female representation on publicly traded corporate and/or state-owned enterprise boards of directors, ranging from 33 to 50 %, with various sanctions. ...Fifteen other countries have introduced non-binding gender quotas in their corporate governance codes enforcing a "comply or explain" principle. Countless other countries' leaders and policy groups are in the process of debating, developing, and approving legislation around gender quotas in boards. Taken together, gender quota legislation significantly impacts the composition of boards of directors and thus the strategic direction of these publicly traded and state-owned enterprises. This article outlines an integrated model of three institutional factors that explain the establishment of board of directors gender quota legislation based on the premise that the country's institutional environment co-evolves with gender corporate policies. We argue that these three key institutional factors are female labor market and gendered welfare state provisions, left-leaning political government coalitions, and path-dependent policy initiatives for gender equality, both in the public realm as well as in the corporate domain. We discuss implications of our conceptual model and empirical findings for theory, practice, policy, and future research. These include the adoption and penalty design of board diversity practices into corporate practices, bottom-up approaches from firm to country-level gender board initiatives, hard versus soft regulation, the leading role of Norway and its isomorphic effects, the likelihood of engaging in decoupling, the role of business leaders, and the transnational and international reaction to board diversity initiatives.
Productivity in a pandemic Collins, Caitlyn
Science (American Association for the Advancement of Science),
08/2020, Letnik:
369, Številka:
6504
Journal Article
Despite decades of research on social mobility and wage disparities, it remains a puzzle why people from lower-class families earn less than people from upper-class families even when similar in ...education and occupational prestige. Taking a sociocultural perspective on social class, we argue that a key contributor to the class pay gap is that people from upper-class origins tend to work in occupations with greater autonomy, whereas their lower-class counterparts tend to work in occupations that are more prosocial. We further propose that autonomous occupations pay better than prosocial occupations. Across two distinct nationally representative samples in the United States, we find that people with upper-class (vs. lower-class) parents are more likely to work in autonomous occupations, but less likely to work in prosocial occupations, even when controlling for education, occupational prestige, and other potential confounds. This pattern of occupational sorting explains a substantial portion of the class pay gap. Our study extends the literatures on social class, occupational segregation, and social mobility, and joins an important scholarly conversation that has, until recently, taken place outside the field of management.
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