Examining the gender pay gap

Gen Z women experience a narrower gender pay gap than previous generations, but the struggle continues. Consider these facts:

• Gen Z women make 92% of what their male counterparts make.¹
• In just 22 of 250 U.S. metropolitan areas, working women under age 30 have parity with men or earn more than men.²
• If this generation follows the current trend, by the time Gen Z women are over 55, they will have earned 75% of what Gen Z men have earned.³

Despite these inequities, many Gez Z women remain optimistic. In fact, 36% of Gen Z women believe that gender equality in the workplace will improve, compared to 25% of millennials and 29% of boomers.⁴ With a few changes to your policies, you can reward them for that faith and deliver a more equitable future.

How employers can close the gender pay gap

• Focus on mentorship. When women mentor men, workplace inequality improves.⁵ Networking-based mentorship can also help.⁶
• Support caregivers with flexible schedules, remote work, part-time work and job-sharing models.
• Understand how pay transparency can shrink gender wage gaps.⁷
• Expand benefits that support working women, such as family planning services, maternity leave and childcare.⁸
• Make equity a core organizational value. Create equitable policies and practices, hold leaders accountable and perform regular audits.⁹

¹ADP Research Institute

²https://www.pewresearch.org/fact-tank/2022/03/28/young-women-are-out-earning-young-men-in-several-u-s-cities/

³ADP Research Institute

⁴https://plc.pearson.com/en-US/insights/pearson-global-learner-survey

⁵https://news.umich.edu/women-mentoring-men-could-help-solve-workplace-gender-bias-inequality/

⁶https://www.csa.org/journal/mentoring-model/

⁷https://www.shrm.org/resourcesandtools/hr-topics/compensation/pages/transparency-shrinks-gender-pay-gap.aspx

⁸https://kenaninstitute.unc.edu/kenan-insight/could-female-specific-benefits-bring-women-back-to-work/

⁹https://www.foundationlist.org/dei

ADP Editorial Team The ADP editorial team is comprised of human resource professionals with extensive experience solving complex HR challenges for businesses of all sizes.