Firm leadership and the gender pay gap: do active owners discriminate more than hired managers?
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In: Journal for Labour Market Research, Vol. 47, No. 1-2, 01.03.2014, p. 129-142.
Research output: Journal contributions › Journal articles › Research › peer-review
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TY - JOUR
T1 - Firm leadership and the gender pay gap
T2 - do active owners discriminate more than hired managers?
AU - Hirsch, Boris
AU - Mueller, Steffen
PY - 2014/3/1
Y1 - 2014/3/1
N2 - Using a large linked employer–employee data set for Germany, we investigate differences in the unexplained gender pay gap between owner-run and manager-run firms. We hypothesise that owner-managers and hired managers differ in their discretion to engage in profit-reducing taste discrimination against women, which would translate into different pay gaps depending on leadership regime. We find that unexplained gaps are significantly higher in owner-run firms, both statistically and economically. Yet, scrutinising these results by restricting our analysis to firms that only differ in leadership regime, this substantial difference disappears. Therefore, our findings do not support that active owners are more discriminatory per se.
AB - Using a large linked employer–employee data set for Germany, we investigate differences in the unexplained gender pay gap between owner-run and manager-run firms. We hypothesise that owner-managers and hired managers differ in their discretion to engage in profit-reducing taste discrimination against women, which would translate into different pay gaps depending on leadership regime. We find that unexplained gaps are significantly higher in owner-run firms, both statistically and economically. Yet, scrutinising these results by restricting our analysis to firms that only differ in leadership regime, this substantial difference disappears. Therefore, our findings do not support that active owners are more discriminatory per se.
KW - Discrimination
KW - Firm leadership
KW - Gender pay gap
KW - Germany
KW - Economics
KW - Gender pay gap
KW - Firm leadership
KW - Discrimination Germany
UR - http://www.scopus.com/inward/record.url?scp=84975263196&partnerID=8YFLogxK
U2 - 10.1007/s12651-013-0138-x
DO - 10.1007/s12651-013-0138-x
M3 - Journal articles
AN - SCOPUS:84975263196
VL - 47
SP - 129
EP - 142
JO - Journal for Labour Market Research
JF - Journal for Labour Market Research
SN - 1614-3485
IS - 1-2
ER -