Occupational Gender Segregation and Wage Differentials among Filipino Youth

Nanette Lee, University of North Carolina at Chapel Hill
Linda Adair, University of North Carolina at Chapel Hill

The tendency of men and women to work in different occupations contributes to the persisting gender wage gap. This effect is suggested to be greater at younger ages as people begin their careers. However, this has not been ascertained in the Philippines because of data paucity, particularly among the youth which account for one fifth of the country’s employed population. Using 2005 Cebu Longitudinal Health and Nutrition Survey data on 924 employed youth ages 19-21 years, we examined the: (1) extent of occupational gender segregation using KI index; (2) demand and supply side factors associated with occupational choice; and (3) effect of segregation on wage rate. Multivariate regression and Heckman selection models were employed. Results showed that there is occupational gender segregation that is worst among rural residents and those who are still schooling. Occupational gender segregation is significantly associated with wage rate inequality, even after controlling for human capital.