Wages in Managed Markets: An Explanation of the Gender Wage Gap?

Over the last decade or so in Australia, relative wages have declined in some female-dominated occupations, notably in the care industries. This article argues that the strong growth in labour force participation of mature-aged women has allowed wages to remain low in these managed industries. Limited mobility across industries and occupations, at least in part due to preferences for part-time work, and an institutional wage-setting mechanism also play a role. Growing demand for workers in the care industries, rising skill levels of women, and slowing growth in participation as rates converge with those of men will contribute to stronger wage growth in the future.