DO DISCRIMINATION AND SEGREGATION SUBSIST IN PAY POLICIES? THE EVIDENCE FROM PORTUGAL

This paper analyses the gender pay determinants between top and lower level of Portuguese employees. A relatively large data pool, for 2003, covering business functions hitherto neglected, sheds a new light into the factors that lead to the earnings of men and women. Our analysis combines human capital with internal-labour-markets theories. Our findings allow the identification of job segregation as one important source of the gender pay gap. Moreover, they confirm that earnings are determined by different factors and suggest a reasonable opportunity for women to combine career and family.