An Ethical Problem in the Current Global Economy: Gender Pay Gap

Abstract

The global economy is currently facing many challenges, some old and persistent, and some new, in various forms. Gender inequality in the labour market is an older problem that has a global dimension and affects women both in terms of labour force participation and pay. For equal work and similar responsibilities, women earn on average significantly less than men. This paper aims to address gender pay inequalities as a problem of the global economy. The aim of the paper is to review theoretical approaches and explore the extent to which these theories can explain the gender pay gap. The first part of the paper argues for the ethical dimension of the problem studied. Attention is then focused on the main myths that cast doubt on the reality of gender pay discrimination. In the final part, human capital theory, game theory and the theory of labour's contribution to productivity are discussed. Our thesis is that these theories, at a particular level, offer only partial, unsatisfactory explanations. Taken together they provide detail and offer richer explanations of the gender wage gap.

Keywords

• gender pay gap
• discrimination
• employment
• ethics