A hidden deterioration in equal pay achievements?

Abstract

PurposeEmployee benefits, a critical element of total employee rewards, are important for both employers and employees. This study aims to explore the utility of employee benefits for male and female employees during the recent economic recession. In doing so, it intends to highlight an indirect deterioration of employment arrangements and equality in the workplace.Design/methodology/approachThe paper draws on the findings of three repeated large-scale surveys during the Greek crisis (2012-2015, totalN= 3,498).FindingsEmployees report that the availability of employee benefits has decreased during the recession and that women find more utility in them than men do. Additionally, women seem to be affected more than men by decreases in employee benefits allocation.Research limitations/implicationsThe present findings support calls for contingent employee reward allocation.Practical implicationsEmployers wishing to sustain their competitive advantage by fostering inclusion and diversity and/or employers with a high female employee ratio are encouraged to consider increasing their employee benefits portfolio.Social implicationsThe recent economic crisis and the subsequent recession have brought about several potential negative effects, in terms of the employment conditions for women. Decreased employee benefits are a hidden negative effect of the recession for female employees and it presents multiple, potential and unforeseen consequences for gender diversity and inclusion.Originality/valueTo the best of the author’s knowledge, this is the first study to address non-monetary employee remuneration under the lens of gender pay differentials. It does so in a turbulent macro-economic setting.