The Gender Wage Gap in Italy: Evidence from ISFOL PLUS 2016-2021

Elena Iakimova, University of Calabria
Manuela Stranges , University of Calabria

Gender wage inequality remains a pressing issue in Italy, shaped by both structural and cultural factors. This study examines the gender wage gap using the Oaxaca-Blinder decomposition method, which separates differences due to observable characteristics - such as education and work experience - from those unexplained, often interpreted as signs of discrimination. Using several waves of ISFOL PLUS data, the analysis shows that the overall wage gap has narrowed over time, suggesting progress. However, a growing share of the gap remains unexplained by observable factors, indicating that discriminatory dynamics may have intensified. The wage gap varies across age groups, being smaller among younger workers and larger among older ones. Regional disparities have also diminished, showing convergence between Northern and Southern Italy. Quantile regression results highlight that the gap is most pronounced at both the lower and upper ends of the wage distribution, revealing the coexistence of wage floor effects and glass ceilings. These findings suggest that, despite improvements, structural and cultural barriers to full gender pay equality persist in Italy.

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 Presented in Session P7. Education, Labor Market, and Economic Issues