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Gender Wage Gap: Men Get Bigger Raises Than Women At Small And Medium Businesses, Index Shows

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Women get slightly more pay raises than men, but men get much larger ones at small and medium-sized businesses, according to a new index from human resources management firm TribeHR. (Alamy photo)
Women get slightly more pay raises than men, but men get much larger ones at small and medium-sized businesses, according to a new index from human resources management firm TribeHR. (Alamy photo)

Women get slightly more pay raises than men, but men get much larger ones at small and medium-sized businesses, according to a new index from human resources management firm TribeHR.

The Waterloo, Ont.-based company’s new pay raise index found men were three times as likely as women to get a pay raise of 25 per cent or more between the first and the third quarter of this year. Of pay raises larger than five per cent, 60 per cent went to men, the study found.

But at the same time, women were marginally more likely than men to get a raise at all, with 7.4 per cent of women working in small and medium enterprises receiving a raise, compared to 6.2 per cent of men.

CHECK OUT TribeHR's PAY INDEX INFOGRAPHIC

TribeHR CEO called the results “a mixed picture” when it comes to gender equality in the workforce.

"It's interesting to see that women seem to be overtaking men in terms of the number of pay raises given but there's still a stark imbalance in the size of salary increases awarded,” he said in a statement.

“Employee satisfaction and workplace culture play an increasingly large role in a business' brand reputation — and those who pay fairly and amply recognize employee contributions will reap the benefits when it comes to hiring and talent retention," he added.

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The study collected data on salaries and documented workplace recognition among 20,000 employees at 2,200 small and medium-sized companies. Half the companies surveyed were in the United States, with another quarter in Canada and the remainder elsewhere in the world.

Though a significant gap in wages continues to exist between men and women in North America, data suggests the gap has been closing. In 1980, women made 62 cents for every dollar earned by a man, but by 2000 that number had risen to 76.9 cents.

What’s behind the wage gap is a more contentious issue. Some observers argue that the wage gap is considerably smaller once you account for differences in career choice and the number of hours worked, and has little to do with gender discrimination.

However, a 2010 OECD survey of wage gaps in the developed world found Canada and the U.S. to have a larger wage gap, marginally, than the average of OECD member countries, at around 21 per cent in Canada and 19 per cent in the U.S., when compared to the OECD average of 17.6 per cent.

Belgium, New Zealand and Poland were the only countries to register a wage gap of 10 per cent or less.

TribeHR's PAY INDEX INFOGRAPHIC

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