Why do women earn less than men? Policies and practices organisations can adopt to address such disparities

Gender pay gap refers to the difference between the wage of women and men. In the UK, the equal pay for both women and men that are doing the same job has been a legal requirement for that past 47 years. Based on the Equality Act 2010, it is illegal to pay someone based on their gender, however, “wage discrimination is undisputable” (Grybaite, 2006). This topic is of interest, as on average, women have “lower incomes, lower wages and less advantageous terms of employment than men” (Grybaite, 2006). Thus, it is important to understand why is there a wage discrepancy and how can organizations act towards eliminating it. This paper will present the reason why women earn less than men, by linking the existent literature and theories with real life examples. Furthermore, the paper will explore the policies and practices that organizations can adopt in order to decrease the gender pay gap and encourage equal opportunities on the labor market.