Exploring earnings differences hidden behind the Gender Pay Gap

Abstract

This paper deals with the issues underlying the measurement of hourly wage differentials between men and women. It introduces the GPG indicator, currently disseminated by Eurostat, on whose remodelling an international debate is underway aimed at improving its measurement. Furthermore, to understand what the GPG hides, it proposes an application on the Italian SES 2018 data of the Eurostat methodology based on the Oaxaca decomposition to adjust the indicator and evaluate how much of the differential is explained by the different discrimination factors.