Indian IT Industry Faces Huge Gender Pay Gap

by CXOtoday News Desk    Jul 24, 2014

gender gap

The Indian IT industry is facing a severe gender gap not only in terms of number of women in the payroll but also with respect to remuneration as women employees are getting far less pay than their male counterparts, says a Monster India report. The gender pay gap in the IT industry is as high as 29 percent, notes the report.

The findings of the Monster Salary Index (MSI) further reveals that a male IT worker receives a gross salary of Rs 359.25 an hour while a female worker received Rs 254.04 an hour. This disparity can be attributed to the fact that men get promoted to a supervisory position more often than women, it says stating that only 36 percent of female employees are promoted to a supervisory position, while 52 percent of the male counterparts get promoted to a supervisory rank.

Read: IT Needs More Women In Tech Roles

“The revelation is startling in an industry that employs 30 percent women. It is surprising to see that the most modern sector in India is not only predisposed to a certain gender but is also paying lesser to women employees than their male counterparts,” says Sanjay Modi, Managing Director, Monster.com , India/Middle East/South-East Asia sharing his perspective on the findings. He also believes that the marital status in India could be cited as a reason for lack of opportunities and growth avenues for a gender.

As India has a typical socio-cultural setup, women often prefer or are compelled to take up part-time jobs to fulfill primary responsibility of taking care of household activities and children. The report likewise notes that more experienced workers are paid better than less experienced ones. While on an average an employee with less than 3 years of experience gets Rs 142.97 per hour and an employee with more than 10 years of experience gets Rs 625.55 per hour. This is where women often falter.

In terms of job tenure, women are at a secondary position as they find it hard to accumulate years in office due to family obligations. The report notes that with more number of career breaks in their job history, the negotiating capacity of women in the labor market declines. Hence, men with similar experience earn higher salary as compared to women.

One interesting insight in the report is that women employed for a limited time get paid better than those with permanent contracts and size and ownership, which are the key influencing factors. In India, about 65 pe cent of the workforces in the IT sector work in large to mid-sized companies with more than 5,000 employees, says the report.

R Chandrasekhar, President, Nasscom, said the findings would enable Nasscom draw insights on growth opportunities and salary parameters. There is a strong need to create equal opportunities for all, particularly women, who are key contributors to industry.