What factors explain the gender pay gap in the UK?
• Human capital: i.e. there are differences in educational levels and work experience between males and females. This is most marked when one compares married males with married females. Breaks from paid work, including time to raise a family, also impact on women’s level of work experience. It is calculated that a mid skilled mother of two, loses an additional £140 000 of her potential earnings after childbirth. • Part-time working: a significant proportion of women work part-time and part-time work typically pays less well than full-time jobs. Nearly 50% of women in the UK whose youngest child is under 5 are not in employment and of those who do work, 65% work part-time. • Travel patterns: on average, women spend less time commuting than men with the result that they will have a smaller pool of jobs to choose from. It may also result in lots of women wanting work in the same location near to where they live which will result in lower equilibrium wages for those jobs. • Occupational s
