Gender Pay Gap Indian IT Industry: Female Techies Earn 29% Less Than Males

Indian IT industry is paying less salary and wages to women employees, compared to males; and this gender based gap in this pay structure is high as 29%!

These startling facts were discovered in a research conducted by Monster India as they released the ‘Monster Salary Index India IT Sector Report 2014’ at the NASSCOM HR Summit 2014 in Chennai.

This study has been done in collaboration with Paycheck.in and IIM Ahmadabad who were research partners. Salary related data of more than 2000 participants were analyzed for a year for this research.

As per the study, male IT workers get an average wage of Rs 359.25 per hour, whereas female IT workers receive Rs 254.04 per hour.

Average earnings of men and women in the Indian IT industry (per Gender)

For the post of supervisor (example managers, Team Leads etc), this gap in wages is even more. Male IT workers who are supervisors receive an average wage of Rs 461.89 per hours, whereas women in the same profile get Rs 375.29.

What are the possible reasons for such huge gap in salaries of male and female IT workers?

Report Observations

– Males are mostly preferred to the top positions within an organization, which creates a better wage/salary composition compared to females.

– Social mindset can also be a reason. As Mr. Modi, who is MD of Monster.com (India, Middle East, South East Asia and Hong Kong) observed that marriage can be a major reason for this huge gap in wages. Due to socio-cultural mindset, a woman is expected to sacrifice her career in the interest of her family. And once that lady becomes a mother, then the issue complicates.

– As the female IT worker needs to take frequent breaks from her career, she takes up part-time jobs, which lowers her overall average salary. In case she attempts to join back into her main stream career, then she will need to accept offers on a lower pay-scale. And the cycle repeats.

– Tenure is also an important factor in determining overall salary for both males and females. On an average, employees with less than 3 years of experience receive Rs 142.97 per hour, whereas those with more than 10 years of experience receive Rs 625.55 as average wage/hour.

– Since women are relatively new to the IT industry, their overall average tenure is less than 5 years within the industry. This factor can also contribute to their less average wage, compared to men.

– The report also observes that males with long term contract are most likely to have higher wages, whereas females with short contract get better wages compared to those females with longer contract. This mindset again shows the inhibited gender inequalities rampant in India corporate culture.

Here is an infographic about some of the other key findings:

The study can be a great case study for HR managers and Entrepreneurs who wish to hire Indian employees. The observations are actually a reflection on our own society and mindset, which certainly needs some overhaul. We all need a gender neutral work culture, which can inspire a dynamic economy, nationwide.

Do let us know your thoughts on this study. If you are woman, then we certainly need your insights!