Japan Press Weekly

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2018 April 25 - May 8 [LABOR]

The bigger the corporate size, the wider the gender pay gap

Big companies have a wider gender pay gap than small companies. This was shown in a government survey.

In the 2016 Statistical Survey of Actual Status of Salary in the Private Sector conducted by the National Tax Agency, the wages for women workers were 55.6% of men’s average wages in companies with a capital of less than 20 million yen. The percentage went down to 46.4% in companies with a capital of more than one billion yen.

One of major reasons for this is that male employees in small- and mid-sized firms are paid less than those in major firms.

The average annual income of male workers working at companies capitalized at less than 20 million yen is 4.36 million yen while that of those who work at large companies with more than one billion yen in capital stands at 7.62 million yen.

In addition, because the percentage of female non-regular workers among female workers is higher at larger corporations compared to smaller businesses, the gender pay gap is wider at large corporations.

Another government survey shows that female contingent workers made up 40.4% of female workers in companies with less than 20 million yen in capital and 48.2% in companies with a capital of more than one billion yen.

Large corporations, which are recognized as having a major influence on society with their strong financial base, should play a prominent role in eliminating all forms of discrimination against women.

Past related article:
> Gender gap in wages increasing in bigger companies [November 30, 2012]