Managing the Gender Wage Gap—How Female Managers Influence the Gender Wage Gap among Workers

Abstract Previous research shows that female managers narrow the gender wage gap (GWG) among workers but does not disentangle two general underlying mechanisms. First, might use their organizational power to change practices and make organizations more gender-equal. Second, benefit from interacting with a manager, e.g. through homophily mentoring. To these mechanisms, I distinguish between at first management level, which is responsible mainly for practices, second interacts workers. Additionally, consider enhancing equality, such as work-life balance practices. Using German linked employer–employee panel data firm fixed-effects regression, find first-level slightly GWG. This influence affected by consideration of Hence, do affect workers’ changing In contrast, second-level considerably GWG summary, substantially reduce workers, this effect works via manager–worker interaction mechanism. increasing share close