Fairport Women

You Deserve Equal Pay

By Fairport Wealth

The Pay Gap Doesn’t Make Cents

This year Tuesday, March 14th symbolized “Equal Pay Day,” the date women had to work until to earn the equivalent of what men earned by the end of last year. Pay disparities are even more pronounced for Black women, Native American women, Latinas, many Asian American women, and women with disabilities.

What’s the issue? 
Despite making great progress over the years, women continue to earn less than men, on average. In 1960, women earned about 60 cents on the dollar, whereas today women earn about 84 cents on the dollar as compared with men.¹ And one-in-four women indicate they’ve been paid less for doing the same job as a man.²

Why is this happening? 
To begin with, women are disproportionately represented in lower paying fields.³ In addition, women continue to assume the majority of family’s childcare, eldercare, and household responsibilities, giving them less time to focus on their careers. And when the pandemic hit, more women (especially working mothers and senior executives) had to leave the workforce or reduce their hours to tend to these responsibilities.⁴ Also, some women don’t negotiate their salaries upfront, and this can have a tremendous impact on their wages, wage growth, and retirement savings over time.

What can we do about this? 
Women in leadership positions can help other women advance their careers by mentoring or sponsoring a junior colleague. For example, each year, we hire summer interns who gain work experience and build connections that can help launch their careers. In addition, women business owners and senior leaders can ensure equitable pay practices within their organizations. And when advancing your own career, make sure your compensation is commensurate with the skills and experience you bring to the table; and don’t be shy about asking for more.

Let’s work together for equal pay! Sign up for our upcoming Pay, Perks & Parachutes webinar for strategies that can help you get the most out of your next career move. For personalized guidance, you can reach out to Emily Shacklett, leader of our executive practice group, or contact your Luma Wealth advisor.

¹ Number and Real Median Earnings of Total Workers and Full-Time, Year-Round Workers by Sex and Female-to-Male Earnings Ratio 1960 to 2021, Equal Pay Day: March 14, 2023, United States Census Bureau

² Gender pay gap in U.S. held steady in 2020, Pew Research Center, May 25, 2021

³ Low-wage jobs are women’s jobs. The overrepresentation of women in lower-wage work, National Women’s Law Center, August 2017

⁴ Seven charts that show COVID-19’s impact on women’s employment, McKinsey & Company, March 8, 2021.