Women in charge? Hierarchical segregation and gender disparities in the Brazilian labor market

Abstract

The ‘glass ceiling’ is well-established finding in the empirical literature on labor market gender inequalities, referring to the phenomenon whereby wage gaps are more pronounced at the top of the income distribution and in higher-level hierarchical occupations. This article analyzes the determinants of the wage gap among managers and directors along earnings quintiles to assess whether a glass ceiling effect exists for women and black people in this type of occupation in Brazil. In addition, the article examines how variables related to care and household chores affect women’s earnings compared to men in these occupations. Drawing on the 2019 and 2022 Brazilian Household Sample Survey (PNADC - Pesquisa Nacional por Amostra de Domicílios Contínua), we perform estimations of wage differentials by sex and skin color based on the quantile regression model with selection bias correction. The results indicate the existence of a glass ceiling for women, more pronounced in the public sector than in the private sector. A glass ceiling effect is also identified for black people, with evidence of greater marginalization for black women. Finally, the variable for caring for people over 60 years old is significant and negative only for women in lower income groups. These results demonstrate the importance of public policies aiming at reducing the wage gap in higher hierarchical occupations. In this sense, the public sector should lead by example increasing the representation of women and black workers in positions of greater prestige and authority, as well as adopting policies to promote more equitable compensation in such positions.