According to the Monster Salary Index (MSI), Monster India, which was released in May this year in collaboration with Monster India, Paycheck and Indian Institute of Management, Ahmedabad, there is a huge gender gap in salary structures in India across all sectors and industries.
The gender pay gap is 27% in India, indicating that men earned a median gross hourly salary of Rs 288.68, whereas women earned only a median gross salary of Rs 207.85 per hour, as per a Monster India report.
According to the latest ‘Monster Salary Index‘ (MSI), the highest gender pay gap was recorded in the manufacturing sector at 34.9%. In the education sector it stands at 22 percent. The lowest gender pay gap was recorded in the BFSI and transport, logistics, communication, equally standing at 17.7%.
At a time when companies globally are striving to attain a gender balance at the workplace, a statement by Monster attributed some of the reasons behind the gender pay gap to the possible preference for male employees over female employees, preference for promotion of male employees to supervisory positions, career breaks of women due to parenthood duties and other socio-cultural factors.
The company said MSI is aimed at empowering job seekers by establishing a benchmark to compare their salaries with other anonymous profiles across a broad spectrum of industry domains, experience, functional groups both in India and other global markets.
According to paycheck.in, the gender pay gap in India presented in the report is based on a voluntary online Salary Survey conducted by Paycheck India. Analysis is based on 16,500 online observations, out of which 13,729 were males and 2771 were females. Data was collected over a period of 6 years (from 2006 to 2011). The data came from employed persons across India.
The statistics plainly show the skewed salary structures between males and females, a gap of a staggering 25.4 percent. In simple terms that works out to Rs. 100 for a man in daily wages and in comparison Rs. 74.60 for a woman. It is no wonder that feminists are up in arms for pay discrimination.
The analysis of collected data shows that a wide gender pay gap does exists in India. The average gender pay gap is approximately 54% for years 2006 to 2011. The gender pay gap has narrowed over the years. It was above 70% before 2008 and has come down to almost 40% in 2011.
The reasons that are quoted for this disparity are – so-called disruption in career due to childbirth and “parenthood duties” (MSI)- , being less assertive than men in asking for better salaries and trying to keep salaries uniform with other companies – which ensure everyone is paying less.
Sanjay Modi, MD (India/Middle East/Southeast Asia/Hong Kong), said, “Worldwide, the lack of pay parity has taken a centre stage with strong views being shared by sports persons, political and business leaders alike. Men often receive higher salary offers than women vying for the same title in the same organization. Needless to say, the situation is far from desired in India, especially when the country is gearing towards inclusive development. While some critics may claim that this gender pay gap is simply due to the choices women make – occupation, family, or education level, but that could not be further from the truth. Today we recognize Equal Pay Day, a day that symbolically represents when a woman’s salary finally catches up to what a man was paid in the previous year.
But the task at hand is the pace at which this pay gap can be bridged. There is a strong need to create equal opportunities for all, particularly women, who are key contributors in the Indian job market.”
What is surprising is that even though women in supervisory position (such as Chanda Kochhar, Naina Lal Kidwai, Arundhati Bhattacharya and Chitra Ramakrishna in the banking and financial services industry), earn more than women in non-supervisory positions, they still earn less than their male colleagues in comparable positions of power. The difference is to the tune of Rs.256.60 per hour to Rs.311.8 for men.
According to the World Economic Forum’s Global Gender Gap Report 2015, the global gender gap across health, education, economic opportunity and politics has closed by only 4 percent in the past 10 years, with the economic gap closing by just 3 percent, suggesting it will take another 118 years to close this gap completely.
Numbers don’t lie, and visualizing them forces you to look the truth in the eye. Women are grossly underpaid compared to men, are less preferred for promotions and leadership positions, and are almost seen as flight risks and wasted investments if nearing the socially-decided marriageable age.
That’s a violation of eight articles and five acts of the Indian Constitution, right there.