The pay gap affects companies in a very similar way all around the world.
This is according to a study from Korn Ferry Hay Group, which tracked and analysed gender and pay for more than eight million employees in 33 countries. The analysis did not look at the gender pay gap for employees in the United States as gender data is not collected in that region.
When comparing pay between genders overall, the study found that men are paid around 17.6% more than women. The findings show that women collectively earn less due to a lack of representation in the highest paying roles. However, when evaluating the same job, function and company to compare like with like, the gender pay gap shrinks to favour men by 1.6%.
“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. The data shows this very consistently, from Sweden to South Africa,” said Ben Frost, a global reward expert at Hay Group. “We need to look at the pay gap differently. 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.”