March for Equality: The Gender Pay Gap and International Women’s Day

Welcome back, fellow LinkedIn-ers – did you know, there are two special days happening? Equal Pay Day in Germany (March 6) is followed closely by International Women’s Day (March 8) – once again this year, they’re almost on the same day! The closeness of these two days just shows that there is a lot more work to be done for gender equality, specifically investing in women and striving to bridge the gender pay gap. So, in this edition of WorkBeat, we look at the gender pay gap and its relation to salary transparency. We share two views on what International Women’s Day could mean for companies and the people working in them. We also dive into the rising trend around gray-collar jobs. So, join us on this Equal Pay Day – and hopefully, we can soon call it New Year’s Day.

The connection between the gender pay gap and salary transparency is clear. Greater transparency creates fairer conditions for women in the labor market. However, it is often overlooked that even small steps towards salary transparency can make a big difference. According to ?our latest study in Germany and the UK, women ?are particularly good at assessing their market value based on sources such as salary information on job adverts, in addition to their actual experience in the job. And this has a direct impact on the success of negotiations. Although women in Germany have fewer opportunities to negotiate their salary compared to men (56% vs 64%, respectively), they are just as successful at securing a pay raise. A quarter of men and women received salary increases in 2023. This contrasts to the start of 2022, where men were 4% more likely to secure a raise, speaking in favor of having salary information in job advertisements.

If you are interested in further insights on this topic explore Nico Stiewe 's brand new article.

‘Gray-collar jobs’, characterized by a fusion of physical labor and professional knowledge, are recently touted as the rising star among occupations. But to what extent does this claim hold true? ‘Gray-collar jobs’ are dominating among those occupations with the highest expected employment growth. However, a closer look at the projected employment growth of typical gray-collar occupations reveals another trend. From firefighters to police officers or detectives, the majority of gray-collar jobs are indeed expected to experience growth rates surpassing or aligning with the average pace. Read Franziska Eckhardt ’s latest article to find out why that is, and which are the fastest growing occupations.

Germany has stopped aging?

With Germany's fertility rate declining and life expectancy increasing, the country was anticipated to skew towards an older population, mirroring global trends. Recent findings from the Federal Institute for Population Research indicate a narrowing demographic gap between the elderly and the youth. This shift is attributed to a rise in young individuals with a migration background. The institute underscores the considerable potential of this group amid demographic shifts, emphasizing the imperative of actively fostering and enduringly facilitating their societal and labor market integration.

The divide between US graduates’ aspirations and industry demand

Job seekers have grown more optimistic about their prospects over the past years, evidenced by the rise of trends such as ‘the great resignation’ and ‘quiet quitting’. However, in the US, recent college graduates may face a new reality soon, as their unemployment rate is rising. Despite the robust job market, recent college graduates face greater challenges in securing employment than the rest of the population. This situation could pose lasting challenges for recent graduates. If they encounter difficulties in finding suitable employment or end up in positions that do not fully utilize their skills, it can negatively impact their wages and hinder their career advancement. Read more about this phenomenon on Recruitonomics.

OpenAI is overtaking customer support and the film industry

An increasing number of companies are effectively incorporating OpenAI into their customer support systems. Take Klarna, the fintech company, for instance, which revealed that within just one month, their AI assistant has engaged in 2.3 million conversations, performing tasks equivalent to 700 full-time agents. Notably, this technology is also saving time, with customers now resolving their errands in under 2 minutes, compared to the previous 11-minute average. Moreover, expanding beyond texts and images, OpenAI has introduced "Sora", a text-to-video diffusion model and Hollywood is losing its minds over the movie-trailer quality videos.

This week we celebrate International Women’s Day. Next to celebrating the achievements and advocating equality of women this year’s motto puts a strong focus on ensuring that all women, regardless of background or identity, are recognized as part of the conversation and being valued – in short:

#InspireInclusion.

“Within The Stepstone Group we grow an inclusive environment. I am involved at all stages of the employee life cycle, from someone’s first interview with us, to their first day in one of our offices and right through all those important moments in life and at work. Alongside our Hiring Managers, we are actively refining our processes to eliminate bias and create equal opportunities for all candidates. By fostering an environment where diversity is celebrated and inclusion is paramount, we not only enhance our efforts but also lay the foundation for a more vibrant and innovative workplace culture.”

If you want to find out more about International Women’s Day and how you can support, read on here.

Nicola Weatherhead is Vice President People Operations and Talent Acquisition at The Stepstone Group.

“As the world gears up to celebrate International Women’s Day, a day set apart to recognise women's achievements across the globe on social, economic, cultural and political sectors, it raises the pertaining question - “Why do we need to have one day in each calendar year, to celebrate the achievements of women?” While it’s great we have a day put aside for this, it demonstrates the pertaining lack of gender equality and recognition that women have faced for many centuries. From the glass ceiling, to the glass cliff, to the gender pay gap which is still in existence, to many other issues facing women in various parts of the world, including the never-changing gender diversity numbers of 70% male and 30% female in the tech industry, it’s about time we make a more meaningful step towards reducing gender inequality in the world and across the different industries that serve the world’s economy. It’s of paramount importance we not only recognise the importance of gender diversity and inclusion in the workplace and the positive contribution it brings to organisations, but we also need to critically understand the needs, challenges, and setbacks women face across all areas, from a biological, psychological, mental, physical, and financial perspective and that we make the necessary steps required to provide more meaningful and wholesome workplaces for all women on a continuous basis."?

To the women struggling to be recognised, valued and compensated, keep going. Don’t give up. Every experience is a learning curve and stepping stone to get you to your destination, and you bring so much valuable and meaningful contribution everywhere you go, so keep going! Happy International Women's Day!

Toju Duke is Responsible AI advisor, author of “Building AI Algorithms” and founder of Diverse AI. She has over 18 years experience spanning across advertising, retail, not-for profit and tech, used to work at Google for 10 years, and was previously the UK lead for "Women in AI", a non-profit global organization with a mission to drive gender diversity in AI.