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How do Labor Unions Influence the Gender Earnings Gap? A Comparative Study of the US and Korea

How do Labor Unions Influence the Gender Earnings Gap? A Comparative Study of the US and Korea Abstract This paper provides a comparative study of the United States and Korea regarding the effects of unions on gender earnings gaps in 2004. Using datasets representative of the population of the US and Korea, this contribution shows that gender differences in the workers' observed characteristics and the unobserved component reduce gender earnings gaps in union jobs in both the US and Korea. Fringe benefits in the union sector attract women workers with higher labor market qualifications into the union sector and thereby reduce the gender earnings gap in this sector. The study finds that this self-selection process in the union sector is stronger in Korea than in the US, but the seniority-based wage system that prevails in the Korean union sector widens the gender earnings gap. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Feminist Economics Taylor & Francis

How do Labor Unions Influence the Gender Earnings Gap? A Comparative Study of the US and Korea

Feminist Economics , Volume 17 (3): 25 – Jul 1, 2011
25 pages

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Publisher
Taylor & Francis
Copyright
Copyright Taylor & Francis Group, LLC
ISSN
1466-4372
eISSN
1354-5701
DOI
10.1080/13545701.2011.582472
Publisher site
See Article on Publisher Site

Abstract

Abstract This paper provides a comparative study of the United States and Korea regarding the effects of unions on gender earnings gaps in 2004. Using datasets representative of the population of the US and Korea, this contribution shows that gender differences in the workers' observed characteristics and the unobserved component reduce gender earnings gaps in union jobs in both the US and Korea. Fringe benefits in the union sector attract women workers with higher labor market qualifications into the union sector and thereby reduce the gender earnings gap in this sector. The study finds that this self-selection process in the union sector is stronger in Korea than in the US, but the seniority-based wage system that prevails in the Korean union sector widens the gender earnings gap.

Journal

Feminist EconomicsTaylor & Francis

Published: Jul 1, 2011

Keywords: Gender earnings gap; trade unions; comparison of the US and Korea; J16; J31; J80

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