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Padavic and Reskin (2002) define the gender wage gap as the ratio of female to male wages
for work of equal value. A wage gap between men and women has been long acknowledged
in Australia (Ryan & Conlon 1975) and the trend has continued into the 21st century (ABS
2005). There are several explanations that have been put forward to explain why the
gender-wage gap persists in Australia. This essay will pick two of the explanations and
critically evaluate each. The first session will focus on the persistent occupational
segregation in Australian society, as well as the changes happening in recent years. The
second session will concentrate on the focus of career break taken by some female workers
due to the need of maternity leave and childcare, however, a growing number of female
workers dont choose to take the career break nowadays.
Even though there are formal and legal barriers to equal opportunity for women in the
labour market, such as Equal Opportunity for Women in the Workplace Act, some salient
facts suggest the level of gender inequality that remains. For example, according to the pay
equity statistics reported by Equal Opportunity for Women in the Workplace Agency, in
August 2010, the gender wage gap was 16.0%. This average weekly ordinary time earnings
of females full-time were $227.20 per week less than their male counterparts. Australias
2006 gender wage gap figure was just below the OECD (Organisation for EconomicCooperation and Development) average gender pay gap of 17.6% in median earnings of full-
time employees (EOWA 2006). The graph is shown in the appendices. One of the reasons for
such gender wage gap is the occupational segregation.
Sex segregation in the workplace is defined as the different distributions of men and women
across occupation, jobs and places of work (Padavic and Reskin 2002). Sex differences have
a substantial effect on social behaviour and social patterns, especially in workplace. People
tend to work for the jobs which they have the skills in and that provide them with the
satisfactions they desire (Browne 2006). In terms of competitiveness, dominance, status-
striving and risk-taking, males outperform than females (Browne 2006). For example,
according to Conti, Collins & Picariello, adding a competitive element to a task increases the
intrinsic motivation of males but does not do so for females (2001). Competition always
comes together with career risk. Therefore, women prefer more stable and less stressed
jobs, such as staff jobs human resources or corporate communications, while men would
rather take line jobs, such as running a plant or division (Browne 2006).
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According to the research results conducted by Miller in 1994, in occupations where at least
70% of the workers are males, wages are 12% higher than in female-intensive occupations,
while in the intermediate case where between 40% and 70% of the workers are males,
wages are 5% higher than in female-intensive occupations. The wage differences in male-
intensive and female-intensive occupations are most likely caused by the required skill
levels and the working strength. However, Millers research was conducted over 10 years
ago. The gender wage gap has certainly been much shortened nowadays, even though it still
exists. The patterns in decline of gender wage gap are Women moving into Male-
dominated Occupations; Males moving into Female-dominated; Change in job structure
(Andragogy: Occupational Segregation). For instance, there are more and more females in
physical risky industries, such as policewomen and firewomen. There are also more and
more females in nonphysical risky industries, such as senior positions in big corporations
and government officials. These jobs require better qualifications and women earn better
income from them.
Besides the occupational segregation, career break taken by females is another main reason
that the gender wage gap persists in Australia. Traditionally, it is womens role to take the
responsibilities of taking care of the children and all the housework. Many female workersextend their maternity leave for a longer career break. Three researchers from the UK used
the survey data from the state of Queensland in Australia and examined the effect of career
breaks on the working lives of women (Arun, Arun & Borooah 2011).
The literature review of their project shows that in both the USA and the UK, career penalty
exists for the women with children and who took the career break, while not applied to the
men. The survey results showed the same situation in Queensland, Australia. Gary Becker
(1991) suggested that the employers might regard career breaks as periods during which a
persons human capital stagnates. Therefore, women have to face the differences after the
career break. The income of re-entering women at the same job position is higher than
those who returned to a different type of job. Some of the women rather choose not to
return. The average probability of not planning a return to work has risen to 30 percent,
under the assumption that those child-related career breaks are long breaks.
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Gender wage gap occurs mainly because the female workers do not have enough freedom
and right to work after returning to the career developing progress after the child-related
leave. Women often have to accept low quality employment because of their caring and
household responsibilities (Crompton 1997). Low quality employment means lower pay.However, the research data shows that females in higher positions, such as managerial and
professional jobs do not take career breaks as common as women working in lower quality
jobs.
However, womens traditional roles have been changed. Not only women can do all the
caring work at home, but also many men volunteer to be househusbands at home
nowadays. At the same time, there are growing numbers of women who are not married,
not have children, or not choose to take any career break for child-related purposes. All
these changes help to shorten the gender wage gap.
In conclusion, gender age gap is shortening but still persists in Australia. The gender wage
gap details were illustrated by official statistic figures and graphs from recent years. The
percentage of Australian gender wage gap is just under the world average. There are many
reasons for such a big gap, two of the key ones are occupational segregation between male
and female, as well as the career break taken by females. Occupational segregation defines
womens limited career opportunities, while career break interrupts or stops womens
career development. However, people change their traditional approaches towards career
and family. Such things like womens career alterations, men taking the career break instead
of the women are happening nowadays. These new trends have shortened and will keep
shortening the gender age gap in this country.
(Word Count: 1096)
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Reference List
Andragogy: Occupational Segregation, viewed 28 September 2011,
.
Arun, S. Arun, T. & Borooah, V 2011, The Effect of Career Breaks on the Working Lives of
Women, viewed 23 September 2011,
.
Australian Bureau of Statistics 2005, Average Weekly Earnings, cat. No. 6302.0, ABS time
series, Canberra. Retrieved: March 10, 2005, from AusStats database.
Browne, K 2006, Evolved sex differences and occupational segregation, Journal of
Organisational Behaviour, J. Organiz. Behav. 27 pp. 143-162, viewed 20 September 2011,
Wiley InterScience Database, DOI: 10.1002/job.349.
Crompton, R 1997, Women and Work in Modern Britain. Oxford:Oxford University Press.
Miller, P 1994, Occupational Segregation and Wages in Australia, Economics Letters, Vol 45,
Issue 3, pp. 367-371, viewed 15 September 2011, via ScienceDirect database.
OECD Earnings Database 2006, Chart LMF5.1: Gender gap in median earnings of full-time
employees,
viewed 25 September, .
Padavic, I & Reskin, B 2002, Women and men at work(2nd ed.). Thousand Oaks, CA: Pine
Forge Press.
Ryan, E & Conlon, A 1975, Gentle Invaders, Thomas Nelson Australia Ltd, Sydney.
https://www.msu.edu/course/lir/891/snapshot.afs/OCCUPATIONAL%20SEGREGATION.pdfhttp://www.borooah.com/papers/MS00.014R5_Borooah.PDFhttp://www.oecd.org/dataoecd/1/35/43199347.xlshttp://www.oecd.org/dataoecd/1/35/43199347.xlshttp://www.borooah.com/papers/MS00.014R5_Borooah.PDFhttps://www.msu.edu/course/lir/891/snapshot.afs/OCCUPATIONAL%20SEGREGATION.pdf