TIME politics

White House Pay Gap Hasn’t Changed Under Obama

Barack Obama
President Barack Obama pauses while speaking about transportation and the economy on July 1, 2014, at the Georgetown Waterfront Park in Washington. Charles Dharapak—AP

The average male employee earns over $10,000 more than average female employee

The pay gap between men and women working at the White House has not narrowed since President Barack Obama’s first year in office, according to a new report, despite Obama’s emphasis on pay equity ahead of the midterm elections.

Salary data compiled by the Washington Post found a 13% gap between the genders: The average salary for men in the White House is $88,600 per year, while the average salary for women is $78,400 per year, the Post reports. That gap has persisted since 2009, when male employees earned an average of $82,000, and female employees made $72,700.

One explanation for the gap is that there are more men than women in higher-paying, senior jobs at the White House: 87 male White House officials earn more $100,000, compared to 53 women. “At the White House, we have equal pay for equal work,” White House spokeswoman Jessica Santillo told the Post. “Men and women in equivalent roles earn equivalent salaries, and over half of our departments are run by women.” She added that the White House is working to place more women in senior positions.

Obama has argued throughout the year that raising the minimum wage would help women and has signed two executive orders that aim make workplace pay more transparent and allow women to discover if they are earning less for the same job. The executive orders only apply to federal contractors, but the president has also pushed the Paycheck Fairness Act, which would mandate the same transparency for the general workforce.

“A woman deserves equal pay for equal work,” Obama said in this year’s State of the Union address.

“She deserves to have a baby without sacrificing her job,” Obama added.

Other parts of the federal government have a similar wage gap. But the 13% gap is still better than that of the nation as a whole, which by one measure has a 23.5% disparity.

[Washington Post]

 

TIME pay gap

Millennial Women Are Still Getting Paid Less Than Men

And millennial men are totally smug about it

Naive millennials thought that the pay gap was only for mid-level executives, but new research shows that even the youngest generation of women are more financially vulnerable in the workplace. Despite an earlier Pew report that showed women gaining parity with men, new research from Wells Fargo shows that college-educated millennial men made $20,000 more per year than women with the same education level. The median annual income for millennial men was $83,000, while women made only $63,000.

The Wells Fargo data didn’t mention anything about a breakdown by occupation, but other research from the Institute for Women’s Policy Research shows that even in occupations that are dominated by women, men still tend to earn more. But the most recent findings also contradict the notion that the pay gap can be attributed to women slowing down at work because they’re on the mommy track– this data shows that women are making less than men far before they start to think about having families. This goes with other research that finds that the pay gap starts with the first job a student gets out of college which can put them behind for their whole career.

Some attribute the wage gap to women’s failure to negotiate, but recent studies have shown that no matter how a woman negotiates her salary, it can often have negative consequences. As Maria Konnikova wrote recently in the New Yorker:

The effect held whether they saw the negotiation on video or read about it on paper, whether they viewed it from a disinterested third-party perspective or imagined themselves as senior managers in a corporation evaluating an internal candidate. Even women penalized the women who initiated the conversation, though they also penalized the men who did so. They just didn’t seem to like seeing someone ask for more money.

More: There’s Even a Wage Gap in Kids’ Allowances

There’s also a disparity between men and women when it comes to savings. Of the 55% of millennials who say they’re saving for retirement, 61% are men and only 50% are women. And 58% of men feel “satisfied” with their savings, while only 41% of women do. And millennial women are far less confident about their financial futures, since only 62% say they’ll be able to afford the lifestyle they want in the future. 80% of men say they’re confident they’ll be able to live the life they want.

Millennial women get the shorter end of the stick when it comes to debt too. 45% of millennial women said they felt “overwhelmed” by their debt, while only 33% of men felt that way. One in five millennial women is “worried” about making ends meet, while only one in ten men is.

Moral of the story: millennial dudes are not only making more and saving more, they’re utterly confident about it.

TIME Education

Female ‘A’ Students End Up Making Less Than Male ‘C’ Students

High school GPA is just one of many factors, including gender, that determine a student’s future income, according to a new study. It found that women who had a 4.0 GPA in high school still made less on average than men who had a 2.5 GPA

Your performance in high school is key to predicting your future salary. But so is your gender and race.

The higher the grade point average (GPA) you have in high school, the more money you’ll make later in life, according to a new University of Miami study that will be published in the upcoming issue of the Eastern Economic Journal. But high-achieving female students still won’t earn as much as male counterparts who didn’t work quite as hard: a woman who had a 4.0 GPA in high school still makes less on average than a man who had a 2.5 GPA.

The chart below illustrates the earnings differences between men and women. The men are in red, the women in green. Personal earnings are listed on the X-axis, high school GPA on the Y-axis.

Michael French, the University of Miami

The gender pay gap has been hotly debated, with some attributing it to job choice, child rearing issues or just plain discrimination. And the issue has recently become more contentious as disputes over how wide the gap actually is continue to grow.

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