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Increase in gender pay gap post-crisis

Romania
The study, ‘Women and men – work and life partnership’, published by the National Institute of Statistics (INS [1]) at the end of 2012 uses data collected during various INS surveys to analyse the gender pay gap [2] in Romania. The study looks at: [1] http://www.insse.ro/ [2] www.eurofound.europa.eu/ef/observatories/eurwork/industrial-relations-dictionary/gender-pay-gap

According to a study on ‘Women and men – work and life partnership’ published by the Romanian National Institute of Statistics at the end of 2012, the pay gap between women and men increased at national level from 8 to 12 percentage points between 2008 and 2011. The figures reveal significant differences across economic sectors, age groups, level of educational attainment and major occupational groups. The financial and economic crisis can also be seen to have had an impact.

About the study

The study, ‘Women and men – work and life partnership’, published by the National Institute of Statistics (INS) at the end of 2012 uses data collected during various INS surveys to analyse the gender pay gap in Romania. The study looks at:

  • demographics;
  • family;
  • health;
  • education;
  • access to information technology;
  • labour force;
  • income distribution.

The chapter on ‘people’s income’ devotes a section to a salary distribution by gender based on data drawn mainly from three studies:

Gender gap in gross average salary

Data from the ‘Survey on labour costs’ indicate that the financial and economic crisis caused a negligible rise in the gross average salary earned by men from €493 in October 2008 to €495 in October 2011, and a drop from €462 in October 2008 to €436 in October 2011 of the gross average salary earned by women (The euro figures are based on the annual average exchange rate of the National Bank of Romania, BNR, for RON to EUR.)

The differences between men’s and women’s earnings vary with economic sector, age group, level of educational attainment and occupation.

Differences by economic sector

Data from the ‘Survey on salaries in October’ show that, across the entire Romanian economy, the gap between women’s and men’s gross monthly average salaries widened from 8 percentage points in 2008 to 12 percentage points in 2011. The greatest differentials to the benefit of men in 2011 were seen in ‘financial intermediation and insurance’, followed by ‘industry’ and ‘other services’ (Table 1).

Table 1: Gender pay gap in gross monthly average salary earnings (%)

Economic sectors

2008

2010

2011

Financial intermediation and insurance

25

21

29

Industry

28

27

27

Other services

27

21

22

Retail

20

12

16

Information and communication

15

18

14

Health

14

14

13

Total Romania

8

13

12

Hotels and restaurants

19

12

12

Education

13

13

11

Entertainment, cultural and recreational activities

14

6

9

Real estate activities

10

9

7

Agriculture, forestry and fishing

5

3

5

Professional, scientific and technical activities

-4

2

2

Public administration

5

6

1

Transport and storage

-1

0

-11

Construction

-17

-17

-24

Administrative and support services

-24

-21

-27

Note: Differential in favour of men

Source: ‘Survey on salaries in October’, INS, various editions

The gap is wider and tending to grow in favour of women in sectors such as ‘construction’, ‘services’ and ‘support activities’. The narrowest gap to the advantage of men is in ‘public administration’.

Differences by age groups

Data from the ‘Survey on the structure of salary earnings’ reveal that, in 2010, the lowest earnings calculated as a ratio to the annual gross average salary at national level were obtained by women in the 15–24 age group and the highest earnings were obtained by men in the 55–64 age group (Table 2).

Table 2: Annual gross average salary earnings by age group, 2010

Age bracket

Men

Women

Total

All ages

103.0

96.7

100.0

15–24

61.4

59.3

60.4

25–54

103.0

97.4

100.3

55–64

122.3

115.7

119.9

Note: National annual gross average salary = 100.0

Source: Survey on the structure of salary earnings 2011, INS

In percentage points, the difference between men’s and women’s annual gross average salaries increased with age, from 2.1 in the 15–24 age group, to 5.6 in the 25–54 age group, and to 6.6 in the 55–64 age group.

Gross earnings by level of educational attainment

As a ratio to national annual gross average salary earnings (100.0), women holding a secondary graduation certificate earned 49.5% in 2010 compared with 58.6% for men with a similar level of education (Table 3).

Table 3: Annual gross average salary earnings by level of educational attainment, 2010

Level of educational attainment

Men

Women

Total

Total

103.0

96.7

100.0

Secondary, general

58.6

49.5

54.4

Secondary, vocational

79.1

57.9

72.9

Post-secondary (high school)

80.4

68.9

74.8

Tertiary, short-term (bachelor)

140.5

115.0

126.0

Tertiary, long-term (master)

182.1

157.6

168.5

Post-academic

260.3

239.2

250.1

Note: National annual gross average salary = 100.0

Source: Survey on the structure of salary earnings 2011, INS

Male holders of a master’s degree earned 1.8 times more money than the national average in 2010, while women in the same educational group earned only 1.6 times more than the national average.

Differences by major occupational groups

In 2010, the highest annual salaries across the entire national economy were earned by women in Major occupational group 1 (that is, Members of Parliament, government, high-rank public administration officers and so on), who received 268% of the national average salary. The lowest annual earnings were obtained by unskilled female workers (45.8% of the national average salary) (Table 4).

Table 4: Annual gross average salary by occupation, 2010

Major occupational group

Men

Women

1 Members of Parliament, government, high-rank public administration officers, and so on

258.0

268.1

2 Experts in various sectors

158.0

140.5

3 Technicians and other technical experts

112.5

98.7

4 Public servants

90.4

93.0

5 Services workers

53.2

50.2

6 Skilled workers in agriculture, forestry, fishing

54.5

49.6

7 Skilled labourers and persons of equivalent qualification

85.8

64.0

8 Operators of machinery, equipment, and assembly lines

88.7

69.2

9 Unskilled labour

47.2

45.8

Note: National annual gross average salary = 100.0

Source: Survey on the structure of salary earnings 2011, INS

In 2010, the ratio between the highest and the lowest annual gross earnings, by occupational sub-groups (that is, between the earnings of female high-rank public administration officers and businesswomen, and the earnings of male assistant cooks) was 8.4:1.

Commentary

If viewed as a comparison of equalities/differences between the sexes, the results emerging from these different surveys open a multi-dimensional perspective of a large spectrum.

In most cases, salary discrepancies between the sexes are in favour of male workers and the economic crisis of recent years has increased the difference.

However, there are exceptions to this general picture. In 2011, for instance, female workers in the mining industry, electric power production and distribution, transport and warehousing, administrative and support services, and in construction received better pay than male workers.

Constantin Ciutacu, Institute of National Economy, Romanian Academy



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