Bavarian data: Women earn less in majority groups when their supervisor is of the same sex

Same-Sex Employees and Supervisors: The Effect of Homophily and Group Composition on Wage Differences. Christina Klug. Zeitschrift für Soziologie, Volume 47, Issue 4, DOI: https://doi.org/10.1515/zfsoz-2018-0116

Abstract: This article analyzes wage differences according to whether or not employees and their supervisors are of the same sex. The mechanism of homophily predicts that having supervisors of the same sex has a positive effect on wages. Additionally, we introduce four conflicting theories that consider group composition as a moderating factor. The hypotheses are tested with data from the Bavarian Graduate Panel via fixed-effect panel regressions. Results show that relative group sizes must be considered in order to see wage differences. These wage benefits emerge in minority and majority groups for male academics, but women earn less in majority groups when their supervisor is of the same sex.

Keywords: Homophily; Group Composition; Wage Differences; Supervisors; Employees