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Business Recorder
21 hours ago
- Business
- Business Recorder
Wage employment: Women in Pakistan earn significantly less than men: study
ISLAMABAD: Pakistani women in wage employment earn significantly less than men —by approximately 25 to 30 percent, depending on the wage metric. The disparity is especially stark in the informal economy, where the gap widens to 40 percent due to limited enforcement of labour laws and lack of protections. This was revealed at the launch of Pakistan's Gender Pay Gap Report. Stakeholders on this occasion unanimously agreed on short, medium, and long-term objectives and jointly developed a National Action Plan to address the gender pay gap. Participants emphasised that closing these disparities can increase women's labour force participation and drive inclusive economic growth. The national workshop — organised by the Ministry of Overseas Pakistanis and Human Resource Development (MOPHRD) in collaboration with the International Labour Organization (ILO) — brought together policymakers, employers, workers' representatives, and technical experts to identify practical policy and legal reforms to promote equal pay and wage equity. It identifies key drivers of this gap, including occupational segregation, informal work, and discriminatory practices. Crucially, much of the gap remains unexplained by observable factors such as education, skills, or occupation—pointing to deep-rooted, systemic inequality. While Pakistan has made some progress, narrowing the gap from 33 per cent in 2018, it continues to lag behind regional peers. Alongside a detailed legal and policy review, the report offers actionable recommendations for aligning Pakistan's labour legislation with ILO standards, particularly the Equal Remuneration Convention, 1951 (No 100). The findings aim to support national stakeholders—government, employers, and workers—in crafting coordinated strategies to reduce the gender pay gap and advance social justice in the world of work. The event convened policymakers, employers, workers' organizations, members of minimum wage boards, labour inspectors, the national statistics institution, and academia to explore structural barriers that confine women to low-paying roles and limit their career progression. In his keynote address, Nadeem Aslam Chaudhry, federal secretary MOPHRD, stated Pakistan is committed to ensuring equal pay for work of equal value. This report and action plan mark a critical step towards unpacking the barriers that hold women back in the economy. This will help Pakistan move progressively against its obligations as part of the ratified ILO Convention 100 on Equal Remuneration (1951) and Convention 111 on Discrimination (1958). Geir Tonstol, ILO Country Director for Pakistan, said, 'This workshop marks a pivotal step forward—from diagnosing the causes of the gender pay gap to developing a national action plan grounded in practical, scalable solutions. We now have the evidence, the commitment, and the partnerships to move from promise to practice. The ILO stands ready to support Pakistan in advancing fair and transparent wage-setting systems, formalising informal work, and creating real opportunities for women across all sectors.' Xavier Estupinan, wage specialist at ILO Decent Work Team, Regional Office for Asia and the Pacific, said, 'The report highlights the 'sticky floor' effect—where women are stuck in low-paid, low-mobility jobs, particularly in the informal economy. Addressing this requires adequate wage-setting mechanisms and meaningful social dialogue. Supporting women's transition to formal work is essential if we are to reduce wage gaps and ensure fairer, more inclusive labour markets.' Copyright Business Recorder, 2025
Express Tribune
25-03-2025
- Business
- Express Tribune
The cost of being a woman
Listen to article Women in Pakistan are remunerated far less than men for doing the same job — not because they're short on education, skills or experience but solely because they're women. A new report by the International Labour Organization (ILO) affirms what women here already know: the country has one of the largest gender pay gaps in the world with women earning on average 25% less per hour and 30% less per month compared to men. That means for every Rs1,000 a man makes, a woman — if she's lucky — scrapes by with Rs700. Imagine running the same race but women start 300 meters behind every time. To put things into perspective, Sri Lanka's gender pay gap (GPG) is 22%, Nepal's is 18% and Bangladesh, surprisingly, has defied the trend with women making slightly more than men while Pakistan continues to trail behind. The numbers indicate that things are moving forward — albeit at a sluggish rate — as the pay gap which was 33% in 2018 has now narrowed to 30%. But at this pace, are we supposed to wait decades for equality to finally happen? What makes this GPG even more exasperating is that it's not about education, experience or capability. The report unveils that most of the gap has no excusable reason; in plain terms, this means discrimination - two colleagues, the same job but one takes home less merely for being a woman. If paying women unfairly was ever ethically justifiable, Khadijah (RA), a successful businesswoman of her time, would've done so. But history tells us she treated her workers fairly and set a benchmark for equal pay, no matter their gender. Employers here shortchange women due to deep-seated biases, workplace norms that write off female labour, weak enforcement of wage equality laws and a lack of accountability. In the formal sector, where laws have some teeth, the GPG narrows; it's even lower in the public sector where salaries follow a set structure. Undoubtedly, the gap shrinks when there's oversight. But in informal jobs, domestic work and agricultural labour — where employers take advantage of unprotected workers, especially women — the gap stretches even wider, exceeding 40%. Take for instance home-based garment workers who stitch the same shirts sold in high-end stores but their earnings are a fraction of what men in similar roles make. This isn't just a women's issue; it's a social, economic and humanitarian issue. Paying women fairly translates to more spending power, greater financial independence, improved child welfare and, ultimately, stronger families and a stronger economy. Pakistan is a signatory to international agreements like the ILO's Equal Remuneration Convention and the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW). We claim to believe in equal pay for equal work on paper but in reality, there's no real push to level the playing field. Laws exist, but what's missing is implementation, what's missing is accountability and what's still missing is the will to change a system that benefits men at women's expense. But this isn't an unsolvable problem; labour inspections, diversity training, anti-discrimination oversight and pay transparency laws are key to workplace equity. If companies were pushed — through tax breaks, grants and public accolades — to ensure equal pay and safer workplaces, the change wouldn't take decades; it could happen now. Until the system changes, women in Pakistan will continue paying a penalty — not for being less competent but for simply being women.
Express Tribune
11-03-2025
- Business
- Express Tribune
Pakistan among countries with highest gender pay gap
Listen to article Pakistan continues to face a significant gender pay gap (GPG), with women earning considerably less than men, according to a recent report by the International Labour Organisation (ILO). The disparity in wages places Pakistan among the countries with the highest GPG globally, particularly in terms of employment rates between men and women. The report reveals that Pakistan's GPG stands at 25% based on hourly wages, with women earning Rs750 for every Rs1,000 earned by men. When considering monthly wages, the gap increases to approximately 30%, partly due to women working fewer hours on average. The report highlights that a substantial portion of this gap cannot be attributed to differences in factors such as education, age, or skills, suggesting potential discrimination in the labour market. In comparison to other South Asian nations, Pakistan's GPG remains notably higher. Sri Lanka's GPG based on hourly wages is 22%, while Nepal's stands at 18%, and Bangladesh reports a negative gap of -5%. However, the report notes a slight reduction in Pakistan's GPG over the years, with the figure having been as high as 33% in 2018. The GPG in Pakistan is less pronounced in the formal economy, where it is almost negligible. However, the gap widens significantly in the informal and household sectors, with disparities exceeding 40%. The report also indicates that compliance with labour laws in the formal sector, especially in the public sector, helps narrow the pay gap. Despite international conventions like the ILO's Equal Remuneration Convention (1951), which calls for equal pay for equal work, the gender pay gap persists, underscoring ongoing inequality between men and women in the workforce.
