You are writing this memo as an external advisor to the CEO of a large multinational fashion retail chain headquartered in the US. The CEO has been invited to speak at a roundtable event with senior federal government and state government policy makers on diversity and inclusion within the workplace, with a focus on gender.
The CEO would like details on what one cause of the gender wage gap in the labor market may be. Secondly, the CEO would like advice on policy prescriptions they may discuss with the government policy makers to try and overcome this cause. Finally, the CEO would appreciate any advice you may have on policies that may be considered for the organization itself to overcome this cause.
Required Readings:
• The Economist, February 6, 2020. “Economists discover the power of social norms,” https://www.economist.com/finance-and-economics/2020/02/06/economists-discover-the-power-of-social-norms
• “The Hidden Taxes on Women,” New York Times March 2, 2018 https://www.nytimes.com/2018/03/02/business/women-hidden-taxes.html
• Yale Insights, Feb 27, 2020. “When Women Speak, Do Others Listen?” https://insights.som.yale.edu/insights/when-women-speak-do-people-listen
• Vox.com, “The Truth about the Gender Wage Gap,” https://www.vox.com/2017/9/8/16268362/gender-wage-gap-explained
• Slate.com, “How Should Parental Leave Be Structured? Ask Iceland,” https://slate.com/human-interest/2013/04/paternity-leave-in-iceland-helps-mom-succeed-at-work-and-dad-succeed-at-home.html
• Claudia Goldin (2014). “A Grand Gender Convergence: Its Last Chapter,” American Economic Review 2014, 104(4): 1091–1119, http://dx.doi.org/10.1257/aer.104.4.1091
Sample Solution