A recent International Labour Organization (ILO) report reveals that women across Pakistan earn approximately 25% less per hour than men and 30% less on a monthly basis, even when performing work of equivalent value. This disparity is starkly amplified in the informal and household sectors, where women earn up to 40% less than their male counterparts.
📊 Key Findings
- Hourly Wage Gap: Women earn roughly PKR 750/hour, while men earn PKR 1,000/hour, marking a 25% disparity
- Monthly Wage Gap: Because women typically work fewer hours, the gap widens to around 30%.
- Informal Sector Gap: Holds an even larger 40% wage gap, due to weak enforcement of labour protections .
- Formal Sector Equality: In contrast, wages are nearly equal in the formal sector and public sector where labour regulations are more strictly applied .
🔍 What’s Driving the Gap?
- Discrimination & Structural Barriers
A major portion of the wage gap cannot be explained by differences in education, experience, or job roles—strongly suggesting systemic bias and discrimination. - Enforcement Weakness in Informal Sector
Informal work—home-based roles, street vending, and agricultural labour—is largely unregulated, lacks social protections, and offers lower wages; women dominate these roles, deepening the gap. - Life Cycle & Motherhood Penalties
Women over age 35 face larger disparities due to career interruptions from childcare, leading many into flexible yet poorly paid jobs. - Educational Limitations
With low female literacy and limited higher education access—particularly in rural areas—women often end up with low-skill jobs in the informal labor market . - Women in Pakistan Earn Significantly Less Than Men, With 40% Gap in Informal Sector.
🌍 Why It Matters: The Broader Implications
- Economic Growth & Inclusion
Closing the gender pay gap could boost women’s economic participation and accelerate inclusive socioeconomic progress. - Vulnerability & Exploitation in Informal Economy
Informal work leaves women exposed to wage theft, exploitation, and lack of benefits such as health insurance, pensions, or maternity leave. - Regional Benchmarking
While Pakistan’s GPG has improved from 33% in 2018 to 25–30% now, it still lags behind peers—Sri Lanka (22%), Nepal (18%), and Bangladesh, which surprisingly reports a negative gap (women earning more on average).
🛠️ Policy Measures & Solutions
The ILO and Pakistan’s policymakers are advancing a National Action Plan focused on:
- Aligning labour laws with ILO Conventions 100 and 111 guaranteeing equal pay for work of equal value.
- Formalising informal work, extending labour protections, minimum wage enforcement, and access to benefits like maternity leave and social security .
- Gender-neutral job evaluations and transparent wage-setting to ensure equitable compensation based on actual job value .
- Tackling occupational segregation by upskilling women and enabling transitions into formal, better-paying jobs.
- Expanding maternity leave, child-care support, and safe, flexible workplace policies to ease re-entry into the workforce post-childbirth .
đź§· Summary Table
Aspect | Findings in Pakistan |
---|---|
Hourly Pay Gap | ~25% (Women earn PKR 750 vs. PKR 1,000 for men) |
Monthly Pay Gap | ~30%, due to fewer hours worked by women |
Informal Sector Gap | Up to ~40% wage disparity |
Formal/Public Sector Gap | Minimal to none when laws are enforced |
Key Causes | Discrimination, weak enforcement, low education, motherhood |
Policy Solutions | Law reforms, formalisation, job evaluations, flexible work |
âś… Final Thoughts
Pakistan’s entrenched gender wage gap—especially the up to 40% disparity in informal work—underscores deep-rooted inequality that goes beyond education or skills. The ILO’s latest findings call for urgent reform: a coordinated policy roadmap, stronger law enforcement, and institutional changes to elevate women’s economic status.