Women in India earn 19 percent less than men

NEW DELHI: Women in India earn 18.8 percent less than men, higher than the global average, largely due to lack of representation in highest-paying job functions and industries, says a report.

According to Korn Ferry Hay Group, women globally earn 17.6 percent less than men and the figure for India stands higher at 18.8 percent.

The global study by the group’s PayNet database tracked and analyzed gender and pay for more than 8 million employees in 33 countries, including 57,000 job holders in India.

“Our data shows that when it comes to thinking about pay on the basis of gender, a man and a woman in the same company, doing the same job, will usually be paid nearly the same – but still favouring men by 1.6 percent,” Ben Frost, a global reward expert at Hay Group said, adding that the data shows this very consistently, from Sweden to South Africa.

In India, for the similar job levels and functions the pay gap, however, is 3.5 percent.

The gender pay gap impacts companies almost identically across the globe, the report said. However, it added, firms are perhaps looking for a solution in the wrong places.

“The biggest driver of the pay gap is a lack of women in high-paying industries, senior functions and in leadership positions. If we want to close the pay gap and make a difference, it is the road to the top jobs that needs to be the focus. This is the pay gap problem,” Frost said.

The number of women found in highest-paying industries (like oil & gas, technology and life sciences) is lacking. Furthermore, even in lower-paying sectors where women dominate – such as hospitality and tourism – men still hold the vast majority of management and executive roles – the highest paid jobs within any industry.