Gender Pay Gap in Germany (GPG)

Gender Pay Gap in Germany

Gender inequality across whole Europe has been decreasing slowly, however, there is still a long way for equality. Ten years ago, the gap in wages in Germany between men and women was 23% and nowadays this reduced by 2% since last year. According to a report by the Federal Ministry for Family Affairs, Senior Citizens, Women and Youth, the eastern part of Germany has a much lower percentage gap than the Western Germany. In 2015, Western Germany has a gap of 24% whilst Eastern Germany had only 6%.

Even though all over Europe, men generally earn more than women, Germany’s gap is higher than the average wage gap in Europe, but why? Below we give you some of the main causes of pay inequality.

  • Horizontal and vertical segregation of the labour market. There is a lack of women in the upper and high class professions.
  • Due to maternity, family and other reasons, women are more prone to interrupt their jobs and reduce their working time.
  • General pay negotiations have not been relatively successful when it comes to overcoming the traditional mentality of low evaluation of female-dominated professions.

With the aim to minimise the pay difference between men and women, Germany is increasing enforcement on companies to be more transparent on wage structures.  These regulations apply to around the fourteen million employees in Germany.

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