Women in Pakistan earn significantly less than their male counterparts, according to a recent International Labour Organisation (ILO) report that highlights the country’s troubling position in global gender wage inequality.
The report stated that Pakistan has one of the world’s largest disparities between male and female employment rates. When measured by hourly wages, Pakistani women earn just Rs. 750 for every Rs. 1,000 paid to men, a 25% gender pay gap. This disparity widens to approximately 30% when comparing monthly earnings, partly because women typically work fewer hours than men.
Notably, the ILO report suggests that much of this wage inequality cannot be explained by differences in education, skills, or age between genders. This unexplained portion points to potential discrimination in the workplace, according to researchers.
Pakistan’s wage gap exceeds those of neighboring countries. Sri Lanka shows a 22% hourly wage gap, Nepal 18%, while Bangladesh reports a reverse gap of -5%, where women earn slightly more than men on average.
Despite the concerning figures, there has been some improvement. The report notes that Pakistan’s hourly wage gap has decreased from 33% in 2018 to the current 25%.
The formal economy offers a more equitable environment, with the gender pay gap approaching zero among formal workers and those in the public sector. In stark contrast, women in informal and household sectors face wage gaps exceeding 40%. This suggests that proper enforcement of labor laws significantly reduces wage inequality.