Paying for Work-Family Balance: Assessing the Role of Family-Friendly Job Amenities in Occupational Segregation

Workers in female-dominated occupations earn less, on average, than workers in comparable male-dominated occupations. To explain the gendered occupational wage disparity, com pensating differentials theory focuses on women’s preferences and asserts that women cluster in occupations that pay less in exchange for family-friendly job amenities. On the other hand, the devaluation perspective argues these wage discrepancies are the result of the cultural devaluation of women’s work that leads to both lower wages and a lower likelihood of having job amenities. Using data from the 2017–2018 American Time Use Survey Leave Module, I examine whether workers in female-dominated occupations are indeed more likely to have access to family-friendly job amenities. I focus on workers’ access to three contemporary family-friendly job amenities: paid leave, remote work, and flexible scheduling. I find that workers in female-dominated jobs are no more likely to have access to family-friendly job amenities than workers in male-dominated jobs. Additionally, family-friendly job amenities are associated with higher wages, not the lower wages as compensating differentials posits. These findings suggest that compensating differentials theory cannot explain the clustering of women in lower-paying occupations.