Occupational Segregation Within Establishments and the Gender Wage Gap

Johannes Ludsteck (Institute for Employment Research (IAB))

Abstract: We investigate the impact of the occupational segregation within establishments and the establishment level proportion of females on the gender wage gap. Segregation explains about 10 percent of the discriminatory part of the wage gap in levels regressions. The effect becomes insignificant, however, in fixed establishment effects (difference) regressions. The proportion of female which explains a similar share of the discriminatory wage gap remains relevant even in difference models.

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