Pakistan continues to face a significant gender salary gap (GPG), with women who earn considerably less than men, according to a recent report by the International Labor Organization (ILO).
The disparity in salaries places Pakistan among countries with the highest GPG worldwide, particularly in terms of employment rates between men and women.
The report reveals that the Pakistan GPG is 25% based on salaries per hour, with women who earn RS750 for each RS1,000 obtained by men. When considering monthly salaries, the gap increases to approximately 30%, partly because women work less hours on average.
The report highlights that a substantial part of this gap cannot be attributed to differences in factors such as education, age or skills, which suggests possible discrimination in the labor market.
Compared to other nations in southern Asia, the Pakistan GPG remains remarkably higher. The Sri Lanka GPG based on wages per hour is 22%, while Nepal’s is 18%, and Bangladesh reports a negative -5%negative gap.
However, the report indicates a slight reduction in the Pakistan GPG over the years, and the figure has been as high as 33% in 2018.
The GPP in Pakistan is less pronounced in the formal economy, where it is almost insignificant. However, the gap is significantly expanded in informal and domestic sectors, with disparities greater than 40%.
The report also indicates that compliance with labor laws in the formal sector, especially in the public sector, helps reduce the salary gap.
Despite international conventions such as the Convention of Equal Remuneration of the ILO (1951), which demands salary equality for the same work, the gender wage gap persists, underlining continuous inequality between men and women in the workforce.
