Labour Economics
“Universities have been promising to fix the sector’s gender problem for decades, but women are still under-represented at almost every level, particularly in decision-making roles, among full professors and senior faculty positions, and in the highest-earning echelons. The Globe and Mail collected and analyzed public sector salary records in Ontario going back to 1999 to better understand this lack of progress.”
“In order to ensure a fair comparison between the years, The Globe adjusted for inflation during salary-related analysis. When Ontario passed the sunshine law in the 1990s, it determined that only employees who earned $100,000 would be subject to disclosure. That number hasn’t changed, but if it had moved with inflation, the new threshold would be $147,537 in 2019. In calculating data points such as overall representation, The Globe only captured employees who would qualify for disclosure if the threshold had kept pace with inflation.”
“The overall story is that, two decades ago, nine out of 10 university employees on the Ontario sunshine list were men, as were nine out of 10 professors, nine out of 10 deans and three-quarters of vice presidents. In the ensuing 20 years, schools made notable progress hiring more women, such that they now represent about one-third of university staff. Representation in leadership has also improved significantly – though the bulk of new hires are concentrated in lower-level, less prestigious jobs.”
The Globe and Mail, June 5, 2021: “Twenty Years of the Power Gap: How 15 Ontario Universities Compare,” by Chen Wang and Robyn Doolittle
University-Specific Data: Brock • Carleton • Guelph • Laurentian • McMaster • Ottawa • Queens •
Ryerson • Toronto • Trent • Waterloo • Western • Wilfrid Laurier • Windsor • York
PWR: work&labour news&research, January 26, 2021: “This is the Power Gap”
Momani, B., Dreher, E. and Williams, K. (2019). More Than a Pipeline Problem: Evaluating the Gender Pay Gap in Canadian Academia from 1996 to 2016. Canadian Journal of Higher Education 49 (1). https://doi.org/10.47678/cjhe.v49i1.188197 (21 pages, PDF)
Locked Out of the Ivory Tower: How Universities Keep Women From Rising to the Top
“Canadian evolutionary biologist Maydianne Andrade is a world-famous spider expert who specializes in the mating habits of cannibalistic black widows. That’s the job she was hired to do. But during her first week as a professor at the University of Toronto Scarborough in 2000, she had a second role imposed upon her, one that continues to steal time away from promoting her research, working in her lab, applying for grants and writing about her discoveries. ‘From Day 1, people asked me: 'Can you talk to me about being a woman in science? Can you talk to me about being a Black women in science?” Prof. Andrade says. 'I did not come into science deciding to be an activist… Gender, race and intersectionality were just dragged into every aspect of my career.’”
“As part of the ongoing Power Gap series, an investigation into gender inequities in the modern work force, The Globe examined Ontario’s public sector salary records going back to 1999. Compared with colleges, hospitals and public health bodies, school boards and Crown corporations, the university sector displayed the clearest lack of improvement on gender. … At Ontario universities, there has been a significant increase in the overall representation of women. In 1999, about one in 10 six-figure earners were women. In 2019, it was one in three. But those gains have primarily occurred in lower-level, less prestigious jobs.”
“So why has change been so slow? Women in academia contend with the same challenges women in other sectors face, including work interruptions like maternity leave and the burden of unpaid care work at home. But female academics also have to battle deeply engrained societal biases that see women as teachers and men as professors. Female professors receive less research funding than men, get less support from their institutions when starting out, win fewer grants and have a harder time getting published. … Men are more likely to collaborate on research with other men, papers written by men are more likely to be cited by other academics, and women are held to higher standards in the peer-review process, so it’s harder to get published in the first place.”
The Globe and Mail, June 4, 2021: “Locked out of the ivory tower: How universities keep women from rising to the top,” by Chen Wang and Robyn Doolittle
Hengel, E. (2017). Publishing while Female. Are women held to higher standards? Evidence from peer review. https://doi.org/10.17863/CAM.17548 (3 pages, PDF)
West, J.D., Jacquet, J., King, M.M., Correll, S.J., and Bergstrom, C.T. (2013). The Role of Gender in Scholarly Authorship. PLoS ONE 8(7). https://doi.org/10.1371/journal.pone.0066212
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“From construction to manufacturing to hospitality, all sorts of industries are having trouble finding workers, raising questions about how quickly the economy can return to full steam, even as provinces slowly reopen, and whether wage hikes will be needed to entice people back to work, thereby fuelling inflationary pressures. Both the health risk of returning to work and the attraction of existing government benefits could keep some workers sidelined, and there are longer-term issues to overcome, such as a lack of immigration and a lack of interest in certain types of work, particularly in the trades. As a result, some economists expect vacancies will only increase as the economic recovery starts to ramp up.”
“Statistics Canada found 4.1 per cent of jobs in this country — an estimated 632,700 positions — were vacant in March, the latest month for which data is available. That’s roughly 100 basis points higher than pre-pandemic levels. … To have so many jobs unfilled at a time when so many are out of work — Canada’s unemployment rate was 8.2 per cent in May, with another 68,000 jobs lost, according to Statistics Canada on June 4 — wouldn’t normally make much sense. It’s a concept that economists refer to as the Beveridge curve, which charts the relationship between unemployment and job vacancy: high unemployment should coincide with low job vacancy — at least in a stable, efficient economy.”
“But Canada’s labour problems, though exacerbated by the pandemic, did not start in the pandemic. In its spring business outlook survey, the Bank of Canada in April warned that 'Pre-pandemic labour constraints are starting to return.’ … The shortage of skilled tradespeople has become a perennial problem in Canada, with sagging interest from new generations to enter them and more and more veteran tradespeople retiring.”
The Financial Post, June 4, 2021: “'It’s not going to change’: The long and short of Canada’s job vacancy problem,” by Jake Edmiston and Stephanie Hughes
CIBC, May 26, 2021: Where have all the workers gone? Surging job vacancy rates post-pandemic (6 pages, PDF)
BMO, June 3, 2021: All Our Representatives Are Busy; Please Hold. Your Call Is Important To Us, by Jennifer Lee
CFIB, May 27, 2021: Business Barometer, May 2021 SME business outlook survey results, by Andreea Bourgeois (3 pages, PDF)
Statistics Canada, May 27, 2021: Payroll employment, earnings and hours, and job vacancies, March 2021 (9 pages, PDF)
Statistics Canada, June 4, 2021: Labour Force Survey, May 2021 (47 pages, PDF)
In the United States: Workers Are Gaining Leverage Over Employers Right Before Our Eyes
“The relationship between American businesses and their employees is undergoing a profound shift: For the first time in a generation, workers are gaining the upper hand. The change is broader than the pandemic-related signing bonuses at fast-food places. Up and down the wage scale, companies are becoming more willing to pay a little more, to train workers, to take chances on people without traditional qualifications, and to show greater flexibility in where and how people work. The erosion of employer power began during the low-unemployment years leading up to the pandemic and, given demographic trends, could persist for years.”
“March had a record number of open positions, according to federal data that goes back to 2000, and workers were voluntarily leaving their jobs at a rate that matches a historical high. Burning Glass Technologies, a firm that analyzes millions of job listings a day, found that the share of postings that say 'no experience necessary’ is up two-thirds over 2019 levels, while the share of those promising a starting bonus has doubled. People are demanding more money to take a new job. The 'reservation wage,’ as economists call the minimum compensation workers would require, was 19 percent higher for those without a college degree in March than in November 2019, a jump of nearly $10,000 a year, according to a survey by the Federal Reserve Bank of New York.”
“This recalibration between worker and employer partly reflects a strange moment: The economy is reopening, but many would-be workers are not ready to return to the job. Yet in key respects, the shift builds on changes already underway in the tight labor market preceding the pandemic, when the unemployment rate was 4 percent or lower for two straight years. That follows decades in which union power declined, unemployment was frequently high and employers made an art out of shifting work toward contract and gig arrangements that favored their interests over those of their employees. It would take years of change to undo those cumulative effects.”
The New York Times, June 5, 2021: “Workers Are Gaining Leverage Over Employers Right Before Our Eyes,” by Neil Irwin
The Conference Board, May 2021: The Reimagined Workplace a Year Later: Human Capital Responses to the COVID-19 Pandemic, by Frank Steemers, Robin Erickson, Gad Levanon, and Rebecca L. Ray (13 pages, PDF)
The Ezra Klein Show, (The New York Times), June 8, 2021: “Employers Are Begging for Workers. Maybe That’s a Good Thing” by Ezra Klein, (1:04:48, podcast) (Transcript)
PwC, January 12, 2021: It’s time to reimagine where and how work will get done
The Century Foundation, October, 20, 2020, updated June 2, 2021: Unemployment Insurance Data Dashboard
Federal Reserve Bank of San Francisco, June 1, 2021: The Divergent Signals about Labor Market Slack, by Troy Gilchrist and Bart Hobijn (6 pages, PDF)
Federal Reserve Economic Data (FRED), updated April 2021: Job Openings: Total Nonfarm
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“The labour market crisis created by the COVID-19 pandemic is far from over, and employment growth will be insufficient to make up for the losses suffered until at least 2023, according to a new assessment by the International Labour Organization (ILO). The ILO’s World Employment and Social Outlook: Trends 2021 (WESO Trends) projects the global crisis-induced ‘jobs gap’ will reach 75 million in 2021, before falling to 23 million in 2022. The related gap in working-hours, which includes the jobs gap and those on reduced hours, amounts to the equivalent of 100 million full-time jobs in 2021 and 26 million full-time jobs in 2022. This shortfall in employment and working hours comes on top of persistently high pre-crisis levels of unemployment, labour underutilization and poor working conditions.”
“In consequence, global unemployment is expected to stand at 205 million people in 2022, greatly surpassing the level of 187 million in 2019. This corresponds to an unemployment rate of 5.7 per cent. Excluding the COVID-19 crisis period, such a rate was last seen in 2013. … Global employment recovery is projected to accelerate in the second half of 2021, provided that there is no worsening in the overall pandemic situation. However this will be uneven, due to unequal vaccine access and the limited capacity of most developing and emerging economies to support strong fiscal stimulus measures. Furthermore, the quality of newly created jobs is likely to deteriorate in those countries.”
“Globally, youth employment fell 8.7 per cent in 2020, compared with 3.7 per cent for adults, with the most pronounced fall seen in middle-income countries. The consequences of this delay and disruption to the early labour market experience of young people could last for years. The pandemic’s impact on young people’s labour market prospects is laid out in greater detail in an ILO brief published alongside the WESO Trends. The Update on the youth labour market impact of the COVID-19 crisis also finds that gender gaps in youth labour markets became more pronounced.”
ILO, June 2, 2021: Slow jobs recovery and increased inequality risk long-term COVID-19 scarring
ILO, June 2, 2021: World Employment and Social Outlook: Trends 2021 (164 pages, PDF)
ILO, June 2, 2021: An update on the youth labour market impact of the COVID-19 crisis (14 pages, PDF)
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“Increasing attention is being given to the ‘gender pension gap’ – the fact that on average women have lower private pension wealth and lower income in retirement than men. But before rushing to conclusions about how to ‘fix’ this, it is crucial to understand the drivers of any pension differences. This will determine what policy intervention – if indeed, any – may be desirable.”
“There are three main potential drivers of a difference in private pension wealth or income between men and women:
- Different labour market experiences: the ‘gender pay gap’, or differing lengths of working life among men and women;
- Different saving rates: men and women may differ in how likely they are to be offered a pension in their job, or tend to work for employers that contribute more or less to a pension, or tend to make different contributions themselves;
- Different investment strategies (in the case of defined contribution pensions): men or women may choose to invest in portfolios with a higher expected rate of return.”
“In a first publication we have documented differences in average pension saving between male and female employees before the introduction of automatic enrolment. This shows that on average across all employees (whether saving in a pension or not) women of all ages actually contributed more as a proportion of their earnings each year than men. However, this was driven by the fact that women are more likely to work in the public sector, where contribution rates are typically higher. Examining average pension saving among men and women within each sector reveals a different pattern: the average saving rates of male and female employees were similar until around age 35 but then diverged – with average contributions continuing to increase with age for men but not changing for women.”
Institute for Fiscal Studies (IFS), May 11, 2021: Understanding the gender pension gap, by Rowena Crawford and Laurence O'Brien
Institute for Fiscal Studies (IFS), May 10, 2021: When should individuals save for retirement? Predictions from an economic model of household saving behaviour, by Rowena Crawford, Laurence O'Brien and David Sturrock (52 pages, PDF)
Prospect, March 3, 2021: What is the gender pension gap?
OECD, March 2020: Wide gap in pension benefits between men and women
Veremchuk, A. (2020). Gender Gap in Pension Income: Cross-Country Analysis and Role of Gender Attitudes. Available at SSRN: http://dx.doi.org/10.2139/ssrn.3662968
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