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The disability pay gap in the UK: What is the role of the public sector?

Year: 2024

Type: article

Abstract: Using data from the UK Quarterly Labour Force Survey we provide the first evidence on variation in the disability pay gap between the public and private sector. Decomposing the disability pay gap at the mean we find evidence of a sizable unexplained pay gap in both sectors, but this is narrower in the public relative to the private sector, consistent with greater pay equality in the public sector. The unexplained disability pay gap increases across the pay distribution particularly in the private sector, suggesting a ‘glass ceiling’. As such, our evidence suggests the public sector provides relative protection for disabled employees, especially at the top end of the wage distribution. This appears to be driven by the influence for females.

Source: Labour Economics

DOI: 10.1016/j.labeco.2024.102642

Author: Melanie Jones

Institutions: IZA - Institute of Labor Economics, Cardiff University

Language: English

Topic: Labor market dynamics and wage inequality

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Reduced inequalities, Decent work and economic growth

Open Access status: hybrid

Estimated APC paid: $2,780