The gender pay gap has a long history, complex causes, and no easy solution. Though the gap is smaller than it used to be, progress in closing it has been slow.
The size of the gap depends on which wage numbers you’re comparing: median or average, hourly or weekly. It also varies by occupation and geographic location.
In 2023, comparing Statistics Canada data on the median hourly wages of males and females aged 15 and over for all occupations, females in Canada earned 86 cents for every dollar earned by males. In Alberta, they earned 76 cents on the dollar.
So, what can women do to increase their salaries and reduce the gap?
Why the gap exists
People sometimes assume that the gap exists simply because of discrimination, but the reasons are actually more complex, and not fully understood.
One explanation is that women are more likely to work part time and to have more career interruptions, leading to fewer total years of work experience. A major reason for this is that they may need to take time off to have children, act as caregivers, and take on other unpaid household responsibilities.
Women are also more likely to be in lower-paying occupations and more likely to earn minimum wage. Traditional “women’s work” (including the “5 Cs”: caring, clerical, catering, cashiering, cleaning) tends to pay less than traditional “men’s work” in comparable jobs that require the same skill level. For example, administration work pays less, on average, than construction work, but both roles require the same basic skills of organization, communication, problem-solving, attention to detail, time management, adaptability, and customer service.
Surveys suggest that women may be less likely to negotiate salaries or raises, or at least less assertive when they do.
Experts also believe that conscious and unconscious bias does account for part of the difference.
Factors that have narrowed the gap
In recent decades the gender pay gap has lessened somewhat as a result of 2 primary factors. In general, women are pursuing higher levels of education than they had historically, and more women are entering professional occupations.
Canada now has a number of laws that deal with pay equity and pay transparency, including:
- The Canadian Human Rights Act and the Employment Equity Act protect against discrimination based on gender.
- The Pay Equity Act requires some federally regulated employers to make sure they offer equal pay for work of equal value. This involves comparing traditionally “female” roles (like customer service) to traditionally “male” roles (like maintenance).
- Several provinces have introduced their own laws on pay equity or pay transparency.
Given what we know about the causes of the gender pay gap, let’s look at some actions that women can take to help close it.
Continue career growth while on maternity leave
There is no doubt that the “motherhood penalty” exists. Mothers earn less than both fathers and women without dependent children. The gap is larger in areas where child care is more expensive. And the earnings drop is bigger and lasts longer for women who have a child early in their career.
If you’re on maternity leave, your main priority should be taking care of yourself and your baby. But after the first few weeks or months, you may feel like doing something that helps you feel connected with your professional identity.
Time away from the workplace may be an opportunity to gain perspective and insight, learn, and maintain career momentum in rewarding ways. For example, you might:
- Reflect on your career path and whether your goals have changed.
- Upskill through online courses, webinars, or self-directed learning. Attending professional development or training offered by your employer can also help you keep in touch with colleagues.
- Attend conferences or industry events to stay connected.
- Pursue a side gig or passion project.
Parenting itself involves many core skills, including communication, problem solving, adaptability, and time management. Think about how you can market these skills on your resumé and in job interviews.
Pursue flexible work arrangements
In many competitive and high-paying fields, long hours and rigid work arrangements are the norm. Because women tend to take on a higher share of childcare and domestic duties, they generally value—or need—flexibility more than men. That means that inflexible policies hurt women more.
The good news is that flexible work options are more common now than ever before. Consider how you might take advantage of these. For example:
- Talk to your manager about the possibility of flextime, hybrid work, or remote work.
- Find another job that will let you work remotely.
- Start a part-time business from home.
Discuss with your partner how you will divide responsibilities at home. Talk openly about parenting duties among your co-workers to help make work-life balance the norm.
Consider self-employment or entrepreneurship
According to Statistics Canada, women now make up more than a third of the self-employed workforce. In 2022, about 1 in 10 working women was self-employed.
If you think that self-employment or entrepreneurship may be a good fit for you, you can connect with a number of resources for female entrepreneurs, including:
- Alberta Women Entrepreneurs supports women entrepreneurs through loans, networking opportunities, and learning resources.
- The Women Entrepreneurship Knowledge Hub offers access to research, resources, and an inspiring database of successful Canadian women entrepreneurs.
- Women’s Enterprise Organizations of Canada provides loans to businesses that are more than 50% female-owned.
Push for pay transparency in your workplace
Pay transparency is openness about how much money people make for the work they do.
Many people still think it’s rude to talk about pay. But when workers have to negotiate their wages individually and confidentially, it leads to discrepancies.
Pay transparency can help close pay gaps because it makes those gaps visible. Actions include disclosing salary ranges, including position pay ranges in job postings, and providing regular compensation data updates.
Some provinces already have laws about pay transparency, but in many cases it’s up to the individual employer. If you’re in a position to set or encourage transparent policies at your organization, consider doing so.
Negotiate salary offers and raises
Some experts think that part of the pay gap is linked to differences in how women and men negotiate their salaries and raises.
When you’re negotiating, keep these tips in mind:
- Research salary data for your occupation and geographic location. Consider your education, experience, skills, and current salary.
- Come up with 3 numbers: a number that you would be really happy with; a number at the high end of what you could live with; and a number that’s too low to accept.
- Prepare talking points related to your achievements, and what you can specifically do for the organization.
- In the negotiation, try to be the first to name a number and make it your high number. This number will be an anchor for the rest of the negotiation.
- If the employer provides the first number, always negotiate, even if you think it’s a good offer. They expect you to push back.
- Use the research you’ve prepared. For example, if the range you’ve identified is $50,000 to $60,000, and they offer you $45,000, you can say something like, “I’m very interested in this position, but based on the numbers I’ve seen for similar positions in this area, I’d prefer to land somewhere in the $50,000 to $60,000 range.”
- Don’t be afraid to hear “no.” You can almost always go back and accept the lower offer.
- If you can’t agree on a number, consider asking the employer to make up some of the difference in other forms, such as extra vacation days.
- Be willing to walk away at whatever number you decided is too low.
Never apologize for negotiating. Remember, it’s expected! And when you switch jobs, always ask for more than you’re currently making. That’s the best time to negotiate a pay boost.
Focus on what you can change
In working to increase your salary and close the gender pay gap, the bottom line is to change what you can change. Be aware of your rights. Know what you want—and ask for it.