The gap in pay between women and men is the fodder for many articles, but now there is a new twist. What happens when women set their own salaries? Do women entrepreneurs — who have the freedom to choose how much they get paid — pay themselves as much as men?
Robb Mandelbaum blogs at the New York Times about a study from Babson College that found female entrepreneurs pay themselves lower salaries than male entrepreneurs pay themselves.
"The study surveyed graduates of Goldman Sachs's 10,000 Small Businesses program," Mandelbaum writes. "It discovered that not only do women pay themselves smaller salaries than men do but that the gender gap among entrepreneurs also closely mirrors the gap in the wider workplace. According to the Institute for Women's Policy Research, women's median weekly wages for full-time work were 81 percent of men's in 2012. Female entrepreneurs who graduated from the Goldman program had entered it with average salaries that were 80 percent those of their male counterparts."1 comment on this story
Lauren Landry at BostInno talked about the results of that Goldman Sachs program that was the basis for the study: "The good news: Six months after graduating from the program, female graduates' average salary rose to 92 percent of their male counterparts', reducing the gender gap by 60 percent. The bad news: Not every female entrepreneur goes through the 10,000 Small Businesses program, meaning a self-imposed salary gap still prevails."
"But whatever the reason behind the wage gap," says Katie Gonzales at Elite Daily, "let us be the first to remind women to demand what they're worth — even from themselves."