Determinants of Earnings among Male and Female Employees in Rajshahi District: A Gender-Based Study

Earnings inequality between male and female employees is common problem found in the developing countries. Therefore, investigating the determinants of earnings is important for identifying the factors that contribute to gender disparities in the labor market. This study investigates the socio-economic and demographic factors that affect earnings among male and female employees in Rajshahi district of Bangladesh with additional focus on gender pay gap. To pursue the study, required data have been from 70 service holders reciding in Kazla and Talaimari areas under Motihar Thana of Rajshahi district. The modified Mincerian earnings function model has been employed in this study to identify the factors affecting earnings of the employees. Estimated results indicate significant earnings gaps, between male and female, in the study area. The regression revealed that earnings of the respondents depend on education level and experience, consistent with the Mincerian proposition. The negative significant coefficient of gender dummy appeared for the female indicate that women receive significantly lower earning than male controlling for other factors. Separate regressions for male and female employees gives the insights that in the Mincerian framework, earnings with respect to education of the males additionally is affected by family status and duration of working. These findings indicate the existence of gender-based earnings disparities and emphasizes on targeted policies to promote equality in the labor market.