As the Wage Gap Widens: Women Need to Ask for More Money by Guest Blogger Liz O'Donnell

This week's guest blogging piece by Liz O'Donnell couldn't be more timely.  We've been discussing the Global Gender Gap a bit this past week on the womensDISH.

New data from the U.S. Census Bureau and the National Committee on Pay Equity shows that the gender wage gap has widened. Women now earn .77 cents, on average, for every dollar a man earns. Last year’s data had women earning .78 cents for every dollar a man earned. This news is disconcerting on its own. When you couple it with the fact that women have surpassed men on the national payroll, it is even more disturbing. As more women take on the role of primary breadwinner, families will be supported on less money and there will be less cash flowing back into the economy.

Nobody wins in this scenario, which is why legislation, like the Paycheck Fairness act is critical. The Paycheck Fairness Act will expand damages under the Equal Pay Act and prohibit employers from punishing employees for sharing salary information with their coworkers. This bill was passed by the House in January but has seen little activity since.

While we wait for the lawmakers to take action, women should do their utmost to negotiate fair starting salaries and raises. When women are offered lower starting salaries than their male counterparts, it can handicap their earning potential for the rest of their careers. In fact, it is estimated women lose $434,000 in wages over the course of their lifetime. That's why negotiating the right starting salary is key.

Lee Caraher, president of San Francisco public relations and marketing firm, Double-Forte advises women to walk away from the wrong offer. "Find out the compensation in your area, know what your bottom is and be prepared to walk away. If the offer is on the low-end, work in a six month salary review based on performance with a concept of dollar amount not percentage. You'll get to your number faster with dollar increases than with percentage increases."

Negotiating raises can be trickier in today's economy. Says Caraher, "Today it is very important to know whether the workplace has frozen salaries, and for how long." She also tells women to find out if a company has rolled back any salary reductions. "You need to understand the context of what you’re asking for."

After you've researched the company and the market, examine your own assets. Be crystal clear about why you deserve what you are asking for and then put the request in writing. Finally, the most important thing women can do is to simply ask for what they want. Too many women hope their bosses will notice their efforts and offer them a raise. That just doesn't happen, especially during a recession. Men are much more likely than women to ask for a raise or refuse a first offer.

Liz O'Donnell writes about women, work, family and fashion. Read more from Liz at www.helloladies.com and www.theglasshammer.com.

Comments

[PhotoHand]

During this recession many more men lost their jobs than women. There is a good chance this is due to the fact that female employees are normally cheaper. I would wait till the end of the recession to ask for a raise.

[Diane K. Danielson]

PhotoHand - that is a good point, but there are businesses that are still doing well in this economy. Heck, aren't a few of the financial firms still handing out million dollar bonuses? I think the tip here is to be informed about your company, your industry and your role in it, so that you can ask for what you deserve, even if you have to delay it a bit due to the recession.