Analyzing wage gap based on gender: insights from the Bangladesh Labor Force Survey 2016-17

Abstract

Bangladesh has one of the lowest gender salary discrepancies in the world, with a deficit of just 2.2% as of the most recent data, according to UN research. This thesis investigates the gender wage gap in Bangladesh using data from the Labor Force Survey (LFS) 2016-17, focusing on non-agricultural workers. The quantitative analysis based on secondary data reveals significant disparities in wages, working hours, education levels, and industry participation between male and female workers, reflecting deep-rooted structural inequalities in the labor market. On average, Men earn more than women. The study also found that female workers have lower levels of education and are more likely to be concentrated in low-paid industries, both of which contribute to the income gaps. To understand how human capital affects wages, mincer regression has been used to examine the causal connection between earnings, experience, and education. The results highlight the necessity of focused governmental initiatives to advance gender parity in schooling and labor market involvement, especially in industries with a preponderance of men.