Women CEOs Earn More?

A recent study by The Wall Street Journal about CEO pay found something unusual: female CEOs earned more than their male counterparts. The study found that in 6 of the last 7 years, female CEOs earned more than their male counterparts. In 2016, women earned a median $13.8 million compared to $11.6 million for men. Let’s dig a little deeper to find out what’s going on here. Continue reading

Trump’s First 100 Days

President Trump recently hit first 100 days in office. While the media has heavily covered his attempts at immigration and health care reform, coverage about gender issues has been less concentrated. Let’s take a brief look at how women’s issues have fared under the new administration. Continue reading

2017 Making Strides Toward Diversity

The first quarter of 2017 is just coming to a close but already gender diversity on boards seems to be a popular topic, cropping up in several studies and news articles. Here are some headlines that have caught my eye over the last few months: Continue reading

The Hidden Pay Gap

Women and men are not paid equally for the same job. However, while that gap has been slowly shrinking, the gap at the upper echelons of management is not. An article in USA Today from earlier this year crows: “Surprise! Women Trump Men on CEO Pay.” On the surface, this is great news. Unfortunately, the truth is obscured according to a study released right around the same time. The study, titled “Gender and Dynamic Agency: Theory and Evidence on the Compensation of Top Executives,” was carried out by the Federal Reserve of New York. The disparity occurs at the incentive pay level. 93% of the time, the pay gap among male and female executives could be attributed to incentive compensation. In addition, women are not compensated for positive firm performance and are more likely to be punished for negative company performance. For every $1 million the firm’s value increases, a $17,150 increase happens for male executives but only a $1,670 increase for females. A 1 percent decrease in company value is associated with a 63 percent decline in wealth for female executives and a 33 percent decline for men. Continue reading