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The Challenge Facing Organisations And The Government Is To Look Into The ...

The challenge facing organisations and the government is to look into the factors that cause wage differential and then to proactively chalk out policies to negate those factors so that women's skills are properly utilised. In the long term, organisation will only tend to gain from maximal utilisation of women's skills.

Conclusions

The government, organisations and the trade Unions have to work together to bridge the pay gap and have to work in partnership to develop policies. Genuine commitment should also be demonstrated from senior management. The pay differential might suggest that women are not making full use of their skills which is very bad for the economy as a whole. Therefore, women should be encouraged in every possible manner to make the most of their skills. The fact that the differential is low at the beginning and widens at the top seems to suggest, that what happens in the labour market is much more important than what happens before the entry which means action should be taken before women enter the labour market. The reasons for pay divergence should be intricately looked into by organisations and the government and the policies should be drafted accordingly. The persistence of the gender pay gap emphasizes the need for multi-faceted policies targeted both on increasing the female labour market participation rate.

Therefore, policies should not necessarily be directed where the problems are greatest but where the policies will have the most effect.
It might be worth pointing out that the pay differential will always exist because the basis of the pay differential lays in the basis architecture and the structure of the society which cannot be changed. As Crompton (2005) points out that while increased participation by men in caring and domestic work would make employment progression easier for women, men cannot be expected to contribute long hours to domestic work if they are spending long hours in employment. Women would have to sacrifice work at some point of their career and this will most often than not, be an impediment to their workplace success. As a result, women are always likely to pay some price for taking periods out of paid employment as experience is valuable to employers but the employers should ensure that the price currently paid by women who take career breaks, does not seem to be disproportionate. The organisational and the government policies can only help narrow the gap but some differential will always exist. Also, from an employers perspective, employers may be reluctant to commit themselves to reduce gender pay gap because this may mean an increase in their wage bill. But, the achievement of equal pay for work of equal value is essential not only as a matter of social justice, but also for sound business reasons.


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