Indicator: Gender Income Disparity

Outcome (s): Families having opportunities to work and play

Why This is Important

Disparities in the amount of money that women make compared to men may create disincentives for women to contribute to the labor force, and impair economic growth by not fully realizing the benefit of having productive, economic contributions from all people. Since many more women than men constitute single heads of households, increasing women’s wages to a level more in line with male earnings can decrease poverty. Higher earnings among younger women, who are saving for retirement and contributing to social security, can provide greater economic security for those women later in life and decrease the dependency of Maine’s elderly population.

Where We Stand

In 2005, the median annual income of all women in Maine who worked full-time, full-year was $32,168, compared to a median income of $41,969 earned by men who worked full-time, full-year. This translates to an earnings ratio of 76.6 percent.

Data Source and Context

Data for this measure is not based on a job for- job comparison; instead it compares wages earned based on equal time worked (on average, women work fewer hours per week and fewer weeks per year, resulting in an even greater disparity in the total amount of annual income earned by men and women). The data source for this indicator is the Maine Economic Growth Council’s Measures of Growth 2007; summary and analysis for that publication (available on-line at http://mdf.org/megc) is done by the Maine Development Foundation. Original analysis of the data on this indicator came from Status of Women in the States, produced by the Institute for Women’s Policy Research.