The Josh Bersin Company, a leading human capital advisory firm, has released a comprehensive analysis on the progress American women are making in closing the gender pay gap. Despite ongoing efforts, the findings show that women still earn, on average, 15% less than men, with full pay equity not expected until 2048. The study sheds light on the persistent disparities and the challenges ahead.
- Overview of Gender Pay Gap
- Women earn 15% less than men on average.
- Full pay equity projected to be achieved by 2048.
- Recent progress has stalled, with no improvement since 2020.
- Key Findings from the Report
- Female managers need 15 years to close the pay gap.
- Even in managerial roles, women earn 10% less than men.
- The pay disparity extends to the executive level.
- Impact of Gender Pay Gap
- Gender salary imbalance is not limited to lower-paid jobs.
- Women in managerial positions experience a 10% pay gap.
- Over a career, this translates to significantly less compensation for women.
- Factors Driving Change
- EU’s 2026 Pay Transparency legislation expected to accelerate progress.
- Pay equity is crucial for business performance and employee retention.
- Companies that achieve pay equity see substantial market and innovation benefits.
- Insights and Recommendations
- Equal pay could inject $482 billion into the U.S. economy.
- Study highlights success stories from companies like Salesforce and SAP.
- A “Pay Equity Action Guide” is provided for organizations to implement effective strategies.
The analysis by The Josh Bersin Company underscores the critical need to address gender pay disparities more aggressively. While there has been some progress, much work remains to be done to ensure that women receive equal pay for equal work. The study serves as both a wake-up call and a guide for organizations committed to fostering a more equitable and thriving workforce.
