- Title
- Wage differentials by sector and gender in Botswana
- Creator
- Motswapong, Masedi
- Subject
- Wage differentials -- Botswana
- Subject
- Wage Decomposition
- Date Issued
- 2023-04
- Date
- 2023-04
- Type
- Doctoral's theses
- Type
- text
- Identifier
- http://hdl.handle.net/10948/62128
- Identifier
- vital:71998
- Description
- The study examines wage differentials in the public and private sectors and gender wage gaps within these sectors in Botswana. Raw data from three nationally representative surveys collected is used. These surveys include the 2005/06 Labour force, the 2015/16 Multi-Topic Household and the 2019 Quarterly Multi-Topic. To address the set objectives, the study utilises the quantile regression model and decomposition methods proposed by Firpo, Fortin and Lemieux (2009) and further used the reweighted RIF-OLS OaxacaBlinder decomposition method proposed by Rios-Avila (2020). Results from three surveys demonstrate evidence of wage inequalities in Botswana. Findings revealed that the wage differential in the public and private sectors has weakened over the years, though it is still a significant concern. The public-private sector wage gap decreased from 72% in 2005/06 to 56% in 2019. However, a different trend is observed in the gender wage differentials, where the gap gradually increased over time. Gender wage gaps in the public sector were 4% in 2005/06; in 2015/16, the gap increased to 27% and 49% in 2019. On the other hand, in the private sector, the average wages were 7.34 and 6.98 for males and females in 2005/06, respectively, implying a wage gap of 35%. This trend holds for the other two samples. The gender wage gap in 2015/16 fell to 23% and increased to 28% in 2019. Results from the quantile regression estimates show that returns to education differ in both the sectoral and gender sections. Further, for males and females, returns for education tend to rise as the education level increases. Returns for education for the private sector are higher than for the public sector. For gender wage differences, education returns for females are higher than for males at all levels, supporting findings that females are more educated on average than males. For decomposition results, findings show that observed characteristics, such as education levels, negatively affect wages at the lower levels and positively at other parts of the distribution in the sectoral wage section. For the gender wage gap section, results show that workers’ characteristics had mixed contributions to the wage gap; it narrows the gap at the lower levels and widens it at higher levels of the wage distribution. Further, results suggest the presence of labour market discrimination and evidence of the “sticky-floor” viii effect in both sectors. Additionally, findings from the reweighting RIF-Oaxaca estimates show that the public-private sector wage gap takes an inverted U-shaped distribution in different levels of the wage distribution. Similarly, composition effects positively affect the gap at lower levels, whereas wage structure effects affect the wage gap at the highest distribution level. Overall, the study’s findings have some significant policy recommendations. The study has indicated that the country has no policy to reduce or eliminate wage differentials in the labour market. Hence, Botswana policymakers need to formulate policies to eliminate wage inequalities. Furthermore, it is recommended that the government should continue investing in human capital development. Education is vital in bridging the wage gap within the labour market. Additionally, there is a need to promote tolerance within society and promote ways of appreciating women’s work. It is also recommended that males be encouraged to work in jobs where women are overrepresented. The study's findings contribute to the ongoing wage inequality debate, and it is hoped that the study will benefit policymakers in Botswana.
- Description
- Thesis (PhD) -- Faculty of Faculty of Business and Economic Sciences, 2023
- Format
- computer
- Format
- online resource
- Format
- application/pdf
- Format
- 1 online resource (xvi, 196 pages)
- Format
- Publisher
- Nelson Mandela University
- Publisher
- Faculty of Faculty of Business and Economic Sciences
- Language
- English
- Rights
- Nelson Mandela University
- Rights
- All Rights Reserved
- Rights
- Open Access
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NMU School for Economics, Development and Tourism
| Thumbnail | File | Description | Size | Format | |||
|---|---|---|---|---|---|---|---|
| View Details Download | SOURCE1 | MOTSWAPONG, M.pdf | 1 MB | Adobe Acrobat PDF | View Details Download |