Pay Secrecy and Gender Inequality in the Workplace

• In Event: 4207 - Work and the Workplace

Abstract

This project investigates whether managerial rules barring discussions of wages and salaries widen gender pay disparities in contemporary U.S. workplaces. Despite recent attention from leading policymakers and journalists, social scientists have little understanding about the prevalence and effects of these rules. This is due to a lack of national-level, representative, and up-to-date workplace data detailing how common pay secrecy policies are, the types of workplaces in which they are concentrated, and whether they correlate with gender inequality. To fill this gap, we partnered with a leading survey research firm to field two rounds of a national survey on the prevalence, correlates, and potential consequences of pay secrecy policies in contemporary U.S. workplaces. Preliminary analyses indicate that these rules, commonly referred to as pay secrecy policies, are widespread. Approximately half of the sample reports either being formally prohibited from discussing pay at work or are actively discouraged from having these discussions. These workplace rules are concentrated in nonunion, private sector firms, and a higher percentage of women report being subject to them compared to men. Future analyses will provide the first comprehensive examination of whether and how pay secrecy policies are related to gender inequality in the workplace.

Authors

• Jake Rosenfeld, Washington University-St. Louis

• Patrick Denice, University of Western Ontario

• Shengwei Sun, Washington University in St. Louis