Study: Gender Pay Gap Persists, Women Taxed for Remote Work

A recent study by Payscale Inc. reveals that the gender pay gap persists, with women earning 83 cents for every dollar earned by men, a figure that has remained stagnant despite efforts to address inequality. The report highlights that working mothers face a significant penalty, earning just 75 cents compared to working fathers, with the pay gap widening as women advance in their careers.

Furthermore, the study found that women who work remotely experience a 10-cent wider pay gap compared to those who work in-person, earning 79 cents on average. In contrast, working fathers earn an average of 15% more than men without children, indicating a fatherhood bonus versus a motherhood penalty.

When comparing controlled and uncontrolled pay gaps, the former—comparing women and men in the same job with the same qualifications—shows that women make 99% of what their male counterparts earn, indicating progress in achieving equal pay for equal work. However, the uncontrolled gap remains entrenched, despite policy efforts such as pay transparency laws in states like California, Connecticut, and New York.

Lulu Seikaly, senior corporate employment attorney at Payscale, emphasizes the importance of pay transparency laws in empowering women to negotiate fair compensation and seek higher-paying roles. These laws provide candidates with salary information before applying, enabling them to make more informed decisions and break the cycle of inequality.

The report also highlights some progress, noting that the controlled gender pay gap has closed for American Indian and Alaska Native, Asian, Black, and Hispanic women in 2024. Additionally, the uncontrolled pay gap has narrowed for these groups since 2019, with Black, American Indian and Alaskan Native women experiencing a 5-cent decrease to 80 cents, 74 cents, and 74 cents respectively. Hispanic, Native Hawaiian, and Other Pacific Islander women saw a 4-cent decrease to 79 cents, 80 cents, and 80 cents respectively. However, progress for white women has been slower, with just a 2-cent decrease to 83 cents, and Asian women saw just a 1-cent decrease to 96 cents.