Final published version
Licence: CC BY: Creative Commons Attribution 4.0 International License
Research output: Contribution to Journal/Magazine › Journal article › peer-review
Research output: Contribution to Journal/Magazine › Journal article › peer-review
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TY - JOUR
T1 - The role of employer learning and regulatory interventions in mitigating executive gender pay gap
AU - Homroy, Swarnodeep
AU - Mukherjee, Shibashish
PY - 2021/12/31
Y1 - 2021/12/31
N2 - This paper examines the role of information and regulatory interventions in mitigating the executive gender pay gap. We find female executives receive about 34% less compared to equivalent males from the same cohort, which falls by half over tenure within the company, but remains systematically significant throughout. The gender pay gap is the highest for young female executives and in the financial sector. Both demand-side (board gender quotas) and supply-side (family policies) regulatory interventions are associated with a lower gender gap in executive pay. Board gender quotas are associated with lower gender pay gap for experienced female executives in the highest age bracket. In contrast, supply-side interventions are associated with lower gender pay gap for the youngest female executives. Our results have important implications for the relative effectiveness of public policies that aim to reduce gender imbalance in corporate leadership and pay.
AB - This paper examines the role of information and regulatory interventions in mitigating the executive gender pay gap. We find female executives receive about 34% less compared to equivalent males from the same cohort, which falls by half over tenure within the company, but remains systematically significant throughout. The gender pay gap is the highest for young female executives and in the financial sector. Both demand-side (board gender quotas) and supply-side (family policies) regulatory interventions are associated with a lower gender gap in executive pay. Board gender quotas are associated with lower gender pay gap for experienced female executives in the highest age bracket. In contrast, supply-side interventions are associated with lower gender pay gap for the youngest female executives. Our results have important implications for the relative effectiveness of public policies that aim to reduce gender imbalance in corporate leadership and pay.
KW - Board gender quota
KW - Cohort analysis
KW - Gender pay gap
KW - Institutional factors
KW - Parental leave provisions
U2 - 10.1016/j.jcorpfin.2020.101857
DO - 10.1016/j.jcorpfin.2020.101857
M3 - Journal article
AN - SCOPUS:85099369562
VL - 71
JO - Journal of Corporate Finance
JF - Journal of Corporate Finance
SN - 0929-1199
M1 - 101857
ER -