Tough trade-offs drive 80% of the gender pay gap in the US

Diversity, equity, and inclusion (DEI) is grabbing a lot of headlines, but let’s look beyond the latest debates to understand some labor market dynamics that can help employers hire and retain talent to meet business needs. New research from the McKinsey Global Institute compares women’s and men’s work experiences to better understand the tough trade-offs at play in the world of work.

Boston Consulting Group (BCG)

To close the gender gap, companies need to know how big it is and what is causing it. Monitoring the pay gap offers a good baseline measure, but it is not enough. Companies can succeed only if they approach diversity as they would any other business priority. Specifically, they need to establish clear metrics on recruitment, retention, advancement, and representation—as well as equal pay.

Watch Out for These 3 Gender Biases in Performance Reviews

Three kinds of bias often creep into the performance-review process, in ways that disproportionately affect women, especially when they choose to take advantage of the flexibility offered by hybrid and remote work. These biases are experience bias, which leads reviewers to overvalue tasks that are easy to define; proximity bias, which leads them to think that people in their immediate orbit do the most important … [ Read more ]

Gender Pay Gap: Valuing Women’s Work

A new study published in Nature Human Behaviour sheds light on the role of within-job pay differences in the gender pay gap.

Research: How Ranking Performance Can Hurt Women

When it comes to gender equity in the workplace, many organizations focus largely on hiring more women. But to achieve more equitable representation, it’s also critical to examine disparities in how employees are evaluated and promoted once they’re on board. In this piece, the authors discuss their recent research on this topic, which found that competitive evaluation systems in which employees are ranked against one … [ Read more ]

How to Advance Gender Diversity in the Workplace

Gender diversity can be a profound business challenge —or a source of competitive advantage. But it’s not women who need to change. It’s the workplace.

Author Talks: Flex Your ‘No Muscle’

Nonpromotable work profoundly affects women’s careers and lives. In her new book, Lise Vesterlund explains why women so often agree to it—and how they can say no.

Randall Kempner

Many studies show that women are as good as, or better than, men at being businesspeople, and they are more likely to reinvest their earnings in long-term assets like education, health care and housing for their families. Gender inequality is a steep tax on global prosperity.

Sally Helgesen, Tomas Chamorro-Premuzic

Business scholar Tomas Chamorro-Premuzic demonstrates, women’s confidence almost always aligns with their level of competence — or falls below it — which is not usually the case with men, especially at leadership levels. This is true primarily because the number of overconfident men tends to be relatively high. And overconfidence, and the assertiveness it engenders, can be extremely helpful to someone pursuing a senior position, … [ Read more ]

Glass Ceiling Debate: He Said, She Didn’t

Some biases are so subtle neither gender may be aware of them, but that doesn’t mean they don’t exist.

One is the Loneliest Number

Put an end to the costly workplace isolation experienced by many women by clustering them on teams and improving the promotion process.

How Women Rise: Helping Women Change the Behaviors that Get in Their Way

It’s not surprising that many of the behaviors that hold men and women back would be different. After all, women often have very different experiences at work. And experience shapes habits and responses. Familiar habits and responses may feel intrinsic, like part of who you are. But they are not you; they are you on autopilot. Bringing them to conscious awareness is the first step … [ Read more ]

10 Ways to Mitigate Bias in Your Company’s Decision Making

If your company is like most, you’re likely struggling with workplace discrimination, even if you don’t know it. Equity gaps remain a pernicious problem in the U.S., particularly for women and people of color, who, on average, earn less and are under-promoted compared to their white or male counterparts. And though federal law has prohibited workplace discrimination for more than fifty years, those gaps don’t … [ Read more ]

What You Need to Know About Women at Work

Around the world, women are paid at lower rates and wages than men and are less likely to be promoted. They also tend to work in different sectors. The implications are everyone’s business.

Changing the Game for Women

Increasing the number of women at every level of an organization is possible if its leaders are ready to use practical solutions.

Sandrine Devillard, Vivian Hunt, and Lareina Yee

Drawing on research in behavioral psychology and what McKinsey calls the “organizational health” of a company, we showed that women tend to encourage a more participatory decision-making process, such as improving the “working environment” component of organizational health. Men, meanwhile, tend to take corrective action more frequently when objectives are not achieved to bolster the “coordination and control” component of organizational health. Not all women … [ Read more ]

How Women Manage the Gendered Norms of Leadership

A wealth of research shows that female leaders, much more than their male counterparts, face the need to be warm and nice (what society traditionally expects from women), as well as competent or tough (what society traditionally expects from men and leaders). The problem is that these qualities are often seen as opposites. This creates a “catch-22” and “double bind” for women leaders.

To alleviate this … [ Read more ]

How Women Can Succeed by Rethinking Old Habits

Everyone has self-limiting behaviors; this is simply part of being human. But our combined six decades of professional experience coaching and working with women in virtually every sector have taught us that even women at the highest levels can undermine themselves with specific self-sabotaging behaviors that are different from those that most frequently undermine men.

Expertise, connections, and personal authority are all non-positional kinds of power … [ Read more ]

What’s Stalling Progress for Women at Work?

Corporate America’s gender-diversity programs are falling short. Companies need to think differently to ignite change.