Tuesday is Equal Pay Day, or the day that supposedly marks when women have earned enough to make up for the last year’s wage gap. According to the American Association of University Women, “This symbolic day is used to raise awareness around and combat the impact of pay inequities.”
It is important to address the data the AAUW and other women’s groups point to for Equal Pay Day. Based on the current population survey conducted by the U.S. Census Bureau, the median earnings of full-time, year-round workers in 2023 differed between men and women. The median earnings of women were $55,240, while men’s earnings were $66,790, so the female-to-male earnings ratio was 0.83. Proponents of the wage gap use this statistic to argue that women only make 83 cents for every dollar a man makes.
This statistic doesn’t take into account important labor choices, such as hours worked, fields of work, and commute times. Sometimes workers value different aspects of a job differently, such as flexibility.
One action politicians can take to benefit women is to give them more choice in the workplace so that they are compensated in a way that is most valuable to them. For example, some Americans, including many mothers, would prefer additional paid time off rather than additional pay for extra work. Currently, the Fair Labor Standards Act requires that covered nonexempt employees receive overtime pay for working overtime hours. Accumulating paid leave is not an option.
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