Focus of 2018-19 year’s Global Wage Report is ‘What lies behind gender pay gaps’.
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The Global Wage Report
- International Labour Organisation (ILO) publishes GWR every year since 2014.
- It examines the evolution of real wages around the world, giving a unique picture of wage trends globally and by region.
Global Wage Report 2018-19
- This is the sixth global wage report of its series. Theme of this year’s report is ‘What lies behind gender pay gaps’.
- This report provides a detailed examination of gender pay inequalities. The findings are based on data from 136 countries.
- One part of the report provides comparative data and information on recent global and regional wage trends.
- The second part of this year’s report is devoted to the gender pay gap.
Highlights of the report:
Recent global and regional wage trends
- Global wage growth in 2017 fell to its lowest rate since 2008, far below levels before the global financial crisis.
- The global wage growth declined to 1.8 per cent in 2017 from 2.4 per cent in 2016.
- In advanced G20 countries real wage growth declined from 0.9 per cent in 2016 to 0.4 per cent in 2017.
- In emerging and developing G20 countries, real wage growth fluctuated between 4.9 per cent in 2016 and 4.3 per cent in 2017.
- In Europe (excluding Eastern Europe), real wage growth declined 3 per cent in 2016 to about zero in 2017, owing to lower wage growth in countries including France and Germany, and declining real wages in Italy and Spain.
Gender pay gaps
- Gender pay gaps has been calculated using data covering 70 countries and about 80 per cent of wage employees worldwide.
- It finds that globally women continue to be paid approximately 20 per cent less than men.
- In high-income countries it is at the high end of the pay scale that the gender pay gap is wider.
- In low- and middle-income countries the gender pay gap is wider amongst the lower paid workers.
- The wages of both men and women also tend to be lower in enterprises and occupations with a predominantly female workforce.
- Motherhood also acts as a factor for gender wage gap. Mothers tend to have lower wages compared to non-mothers.
- It shows that even before women reach motherhood, there is already a pay gap.
- There is a need to combat stereotypes and discrimination at the point of entry into the labour market.
- According to the Global Wage Report 2018/19, workers in India got the highest average real wage growth in the last decade in southern Asia.
- India stood at 5 per cent in real wage growth in During 2008-17.
- However, India and Pakistan had the highest gap of 34.5 per cent and 34 per cent respectively between what men and women earn.
- Workers in Asia and the Pacific got the highest real wage growth over the period 2006-17 including India.