Women in Pakistan Earn 25% Less Than Men: Report
News Desk
Islamabad: Women in Pakistan continue to earn significantly less than men, with the gender pay gap (GPG) standing at 25 percent when measured by hourly wages and 30 percent on a monthly basis, according to a new policy brief by the International Labour Organization (ILO).
The report highlights systemic barriers and discrimination contributing to these disparities and urges immediate policy interventions to ensure equal pay for equal work.
Findings show that the average hourly wage for women in Pakistan is PKR 750, compared to PKR 1,000 for men. The gap widens on a monthly basis as men tend to secure more working hours than women.
While Pakistan has reduced its gender pay gap from 33% in 2018, it still lags behind regional counterparts like Sri Lanka (22%), Nepal (18%), and Bangladesh (-5%). The report underscores that a significant portion of the GPG cannot be explained by education, skills, or occupation, indicating discrimination as a major factor.
The gap widens for women over 35, as many returning from maternity leave require workplace flexibility, often at the cost of lower wages.
Weak enforcement of labour laws is a key issue, as the formal economy and public sector where laws are enforced tend to offer equal pay for the same work. However, the informal sector has a much higher GPG of 40%, and private sector jobs also show wider disparities due to weak regulatory enforcement.
Education Reduces Pay Gap
The report finds that education helps reduce the wage gap, as educated women secure better-paying jobs than their less-educated counterparts. Nevertheless, low-wage women workers remain vulnerable, making wage-setting mechanisms, such as minimum wage policies and collective bargaining, crucial for reducing gender disparities.
ILO Country Director for Pakistan Geir T. Tonstol emphasized the need to strengthen compliance with labour laws, particularly in the informal economy.
He stated, “Lack of adherence to labour laws significantly contributes to the gender pay gap in Pakistan. Strengthening compliance and promoting social dialogue are key to ensuring fair wages and better working conditions.”
Pakistan has committed to aligning its labour laws with ILO Conventions, with new labour codes in Punjab and Sindh reflecting these principles. However, enforcement remains a challenge.
The ILO policy brief suggests that strengthening labour law enforcement and formalizing the informal economy could significantly reduce gender-based pay disparities. Formalization would ensure better wages, improved working conditions, and social protection, particularly for women in low-wage jobs.
The report concludes that eliminating the gender wage gap requires joint efforts from the government, labour unions, employer organizations, and civil society. Only through comprehensive policies and collaborative action can gender inequality in the labour market be effectively addressed.