Occupational gender composition and the gender wage gap in Sweden

Abstract

This paper examines the relationship between the gender wage gap and occupational gender segregation in Sweden. The results show that the gender wage gap varies substantially across occupations. It is small in male-dominated occupations and relatively large in female-dominated occupations. Further, as much as 30% of the overall gender wage gap in Sweden can be attributed to occupational segregation by gender. Finally, the return to work experience for women is substantially higher in male-dominated occupations than in female-dominated occupations, suggesting that the cost for work interruptions are lower in female-dominated occupations than in male-dominated occupations. This finding is consistent with the hypothesis that women choose occupations in which the penalty for work interruptions is low. Thus, occupational segregation may arise because of gender differences in preferences for occupational characteristics and not necessarily because of discriminatory practices by employers.