1. What is Gender Pay Gap?

The gender pay gap measures the difference between men's and women's average earnings, expressed as a percentage of men's earnings. It highlights inequality in pay between genders for similar work.

2. How Does the Calculator Work?

The calculator uses the standard gender pay gap formula:

Where:

• Male Average — Average salary for male employees
• Female Average — Average salary for female employees

Explanation: The formula calculates what percentage less women earn compared to men on average.

3. Importance of Gender Pay Gap Calculation

Details: Understanding the gender pay gap helps identify workplace inequalities, informs policy decisions, and tracks progress toward pay equity.

4. Using the Calculator

Tips: Enter average salaries for male and female employees in any currency (but be consistent). The calculator will show the percentage difference.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a significant pay gap?
A: While zero is ideal, gaps above 5% are generally considered significant and worth investigating.

Q2: Does this account for different roles/experience?
A: No, this calculates the raw gap. For adjusted gaps that account for factors like role and experience, more complex analysis is needed.

Q3: What's the average gender pay gap globally?
A: According to recent studies, the global gender pay gap averages around 16-20%, varying significantly by country and industry.

Q4: Can the gap be negative?
A: Yes, if women's average pay is higher than men's, the gap will be negative, though this is rare in most industries.

Q5: How often should pay gap analysis be done?
A: Organizations should analyze their gender pay gap annually to track progress and identify areas needing improvement.