Women make inroads into top jobs

Citation

(2001), "Women make inroads into top jobs", European Business Review, Vol. 13 No. 2. https://doi.org/10.1108/ebr.2001.05413bab.001

Women make inroads into top jobs

Women make inroads into top jobs

Keywords: Women, Salaries, Management

Women are staking their claim in the business world, holding almost three times (280 per cent) as many managerial roles as a decade ago. Women executives are also closing the gender pay gap, lagging only 8 per cent in their salaries contrasted to 38 per cent in 1990 (see Table I).

According to the National Management Salary Survey 2000, released by the Institute of Management (IM) and Remuneration Economics, almost a quarter (22 per cent) of managers today are women – a great leap from only 8 per cent in 1990. Women have also muscled their way into the boardroom to a small but growing presence of 9.6 per cent from a mere 1.6 per cent ten years ago.

In the last year, female managers have once again outperformed their male counterparts in the salary stakes to receive, on average, 19 per cent higher pay increases. Women managers pay rose by 6.4 per cent compared to the 5.4 per cent rise their male colleagues received. The latest survey shows that female directors received almost treble the pay increases of their male peers – a 16.2 per cent salary rise compared to 5.6 per cent.

The average woman manager earns around £33,000 – about £3,000 less than her male colleagues. Considering women managers are on average seven years younger and have worked with their employer five years less, the survey does not indicate much of a pay discrepancy between male and female managers.

Christine Hayhurst, director of public affairs at the Institute of Management commented: "It is encouraging to see that women's talents are being recognised and rewarded in Britain's businesses and boardrooms. Women now make up half of today's work force and female managers have now almost redressed pay inequalities. However, women are under halfway to fulfilling their quota of management roles, of which they hold 22 per cent".

For the first time in the survey's 27-year history, at least one woman sits on a board in each of the ten industry groups. Female managers have also gained ground, holding at least ten per cent of the top jobs in all industries, except engineering. Woman have really made their mark in the public sector where they occupy just over 40 per cent (41.5 per cent) of managerial roles. In the financial and business services, almost one-third (31.1 per cent) of managers are women.

By function, women managers in personnel are a 60 per cent majority. The actuarial, insurance and pensions group has also opened up to women, where they have over one-half (54 per cent) of management positions.

The highest earning jobs for women are in IT/management services or research and development, with average salaries of just over £39,000. Finance and marketing follow, where women earn close on £37,000.

Further information is available from Preston Witts/Sherylin Thompson. Tel: +44 (0)20 7497 0496. Out of office hours: 07771 928017 or E-mail: press.office.@-imgt.org.uk; Web site: www.inst-mgt.org.uk