Pay Equity & Discrimination

Women make up nearly half of the workforce and serve as sole or co-breadwinners in half of all American families with children. They also earn more college and graduate degrees than men. Despite these advancements, women continue to earn significantly less than men. In 2016, full-time, year-round female workers earned just 80.5 cents for every dollar earned by men—a gender wage gap of 20%.

This wage disparity is evident across nearly all occupations where sufficient earnings data allows for comparisons. In middle-skill occupations, jobs predominantly held by women pay just 66% of those primarily held by men. Research from the Institute for Women’s Policy Research (IWPR) highlights that discrimination in pay, hiring, and promotions remains a persistent challenge in workplaces nationwide.

Tracking the Gender Wage Gap

IWPR monitors the gender wage gap through a series of fact sheets updated biannually. The data indicates that, if progress continues at the current sluggish pace, it will take another 41 years—until 2059—for women to achieve pay parity. For women of color, the timeline is even longer due to slower rates of change.

IWPR’s Status of Women in the States project provides detailed insights into the gender wage gap by state, race/ethnicity, and age group, revealing that pay inequities vary significantly across demographics and regions.

Understanding the Causes

The gender wage gap stems from several interrelated factors. IWPR research shows that jobs predominantly performed by women, regardless of required qualifications, consistently pay less than those primarily held by men. While women have made significant progress entering traditionally male-dominated occupations, advancements have stalled over the past two decades. In industries like construction, there has been no progress in gender integration for over 40 years. This ongoing occupational segregation remains a major driver of wage inequality.

Economic Impact of Pay Inequality

The consequences of persistent pay inequity are far-reaching. IWPR’s recent regression analysis of federal data reveals that achieving pay equity would reduce poverty rates for working women and their families by more than half. Additionally, it would inject approximately $513 billion into the national economy annually, benefiting families, communities, and the broader economy.

Shaping the Conversation on Women’s Pay

Since 1987, IWPR has been at the forefront of research on the gender wage gap and occupational segregation. Their findings have changed the conversation, providing policymakers, journalists, and advocates with the data needed to drive meaningful change in women’s earnings and workplace equity.

Achieving pay equity requires addressing systemic barriers, ending occupational segregation, and combating ongoing discrimination in the workplace. By closing the wage gap, we not only advance economic justice for women but also strengthen the economy as a whole.