Do Apparel Exports Support a “Quiet Revolution”?
l
39
The story here may be that apparel jobs are at least good enough to keep women in the workforce but are less appealing to younger generations—and there are few, if any, alternative options for middle-aged women. Given the lack of other employment opportunities and often minimal reskilling programs in LMICs, females who start in the apparel industry are likely to stay in it while they remain in the workforce.
Indicator Four: Earnings Gaps between Men and Women The male-female wage gap is one of the most pervasive and widespread labor market characteristics, given that on average, worldwide, men earn more than women. Wage gaps not only send a discouraging signal but also provide a financial disincentive for women to invest in labor market experience, training, and education. Exporting apparel increases the demand for female workers and, as a result, may affect the wage gap. Labor market experience, industry and occupation segregation, and government policies also play vital roles as determinants of pay gaps for equal work. FACTORS BEHIND THE WAGE GAPS In the United States, wage gaps were persistent even after the quiet revolution started (Goldin’s Phase IV). In 1980, women’s earnings were about 60 percent of men’s wages (Goldin 2006) and by 2020 were close to 84 percent (Barroso and Brown 2020). The wage gap does not necessarily close when women start entering the labor market (Kabeer and Natali 2013); indeed, if women enter the labor market for some reason besides wages, the increase in the relative supply of women can even widen the gap. Furthermore, as women enter the labor market, they often start in lower-ranked occupations or are simply paid less than men for the same work, both of which can lower the average wage earned by women. In any given country, the factors driving gender wage gaps can be numerous, entrenched, and interconnected. Experience and skills requirements. In the labor market, occupations within an industry differ in terms of activities, skills, education, and wages. Technical and managerial positions (which men usually hold) often earn higher salaries than operators or machinists, and they require more (and different) skills and education. Gender norms. Moreover, gender norms exist in many industries and occupations; that is, men and women often choose to work in different industries and occupations. For example, men are more likely to take jobs in construction, industries that require using capital equipment or handling heavy loads, chemical production and use, engineering, and software development. Women tend to work in health services, education, domestic services, or assembly-line work associated with activities performed in the home (such as sewing and food preparation). Employment segregation. In the United States, employment segregation by occupation accounted for 33 percent of the gender wage gap, employment segregation by