The Persistence of the Female Wage Disadvantage

Studies of the Australian labour market during the 1980s reported that the gender wage differential narrowed. However, a different story emerged during the 1990s when the gender pay gap persisted. A large part of the pay gap is attributable to different 'treatments' of men and women in the labour market. This article examines whether the female wage-disadvantaged state is a temporary or permanent phenomenon. The results show that while there is some mobility in the female wage distribution, there also exists a high degree of stickiness. It is argued that the wage-disadvantaged state for females is generally not a temporary phenomenon.