Factor Affecting the Wage Gap Between Women and Men (Gender Pay Gap) Among the Millenial Generation in West Nusa Tenggara: A Blinder Decomposition Approach – Oaxaca.

SELLY RAHMAWATI; HIMAWAN SUTANTO; VICI HANDALUSIA HUSNI

doi:10.55681/economina.v5i5.2228

Authors

SELLY RAHMAWATI EKONOMI PEMBANGUNAN,FAKULTAS EKONOMI DAN BISNIS,UNIVERSITAS MATARAM
HIMAWAN SUTANTO Ekonomi Pembangunan, FEB Universitas Mataram
VICI HANDALUSIA HUSNI

DOI:

https://doi.org/10.55681/economina.v5i5.2228

Abstract

This study aims to analyze the factors that influence the wage gap between female and male workers (gender pay gap) in the millennial generation in Mataram City, West Nusa Tenggara. The analysis is carried out both from the aspect of human capital, such as education and work experience, as well as discrimination and socio-cultural factors. This research method uses the Blinder-Oaxaca decomposition approach to distinguish the portion of the presentation caused by observable characteristics (explained) and the portion that cannot be explained (unexplained) which is often associated with discrimination. The results of the study are expected to provide an in-depth understanding of wage inequality in the local labor market, considering that West Nusa Tenggara Province recorded the highest Gender Inequality Index (IKG) value in Indonesia in 2023. The main conclusion of this study is directed at formulating targeted policies in an effort to create a fair wage system for the millennial generation.

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