She’-E-O Compensation Gap: A Role Congruity View

Is there a compensation gap between female CEOs (She’-E-Os) and male CEOs? If so, are there mechanisms to mitigate the compensation gap? Extending role congruity theory, we argue that the perception mismatch between the female gender role (that assumes communal traits) and the leadership role (that...

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Main Authors: Wang, J., Markóczy, L., Sun, S., Peng, Mike
Format: Journal Article
Published: Springer Netherlands 2018
Online Access:http://hdl.handle.net/20.500.11937/67620
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author Wang, J.
Markóczy, L.
Sun, S.
Peng, Mike
author_facet Wang, J.
Markóczy, L.
Sun, S.
Peng, Mike
author_sort Wang, J.
building Curtin Institutional Repository
collection Online Access
description Is there a compensation gap between female CEOs (She’-E-Os) and male CEOs? If so, are there mechanisms to mitigate the compensation gap? Extending role congruity theory, we argue that the perception mismatch between the female gender role (that assumes communal traits) and the leadership role (that assumes agentic traits) may lead to lower compensation to female CEOs, resulting in a gender compensation gap. Nevertheless, the compensation gap may be narrowed if female CEOs display agentic traits through risk-taking, or alternatively, work in female-dominated industries where communal traits are valued. Additionally, we expect that female CEOs’ risk-taking is less effective in reducing the gender compensation gap in female-dominated industries due to the conflicting emphases on agentic and communal traits. Leveraging a sample of Chinese publicly listed firms, we find support for our hypotheses. Overall, this study contributes to the ethics literature on income inequality issues, by highlighting the effectiveness of potential mechanisms to close the gender compensation gap between female and male CEOs.
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spelling curtin-20.500.11937-676202018-09-04T07:43:15Z She’-E-O Compensation Gap: A Role Congruity View Wang, J. Markóczy, L. Sun, S. Peng, Mike Is there a compensation gap between female CEOs (She’-E-Os) and male CEOs? If so, are there mechanisms to mitigate the compensation gap? Extending role congruity theory, we argue that the perception mismatch between the female gender role (that assumes communal traits) and the leadership role (that assumes agentic traits) may lead to lower compensation to female CEOs, resulting in a gender compensation gap. Nevertheless, the compensation gap may be narrowed if female CEOs display agentic traits through risk-taking, or alternatively, work in female-dominated industries where communal traits are valued. Additionally, we expect that female CEOs’ risk-taking is less effective in reducing the gender compensation gap in female-dominated industries due to the conflicting emphases on agentic and communal traits. Leveraging a sample of Chinese publicly listed firms, we find support for our hypotheses. Overall, this study contributes to the ethics literature on income inequality issues, by highlighting the effectiveness of potential mechanisms to close the gender compensation gap between female and male CEOs. 2018 Journal Article http://hdl.handle.net/20.500.11937/67620 10.1007/s10551-018-3807-4 Springer Netherlands restricted
spellingShingle Wang, J.
Markóczy, L.
Sun, S.
Peng, Mike
She’-E-O Compensation Gap: A Role Congruity View
title She’-E-O Compensation Gap: A Role Congruity View
title_full She’-E-O Compensation Gap: A Role Congruity View
title_fullStr She’-E-O Compensation Gap: A Role Congruity View
title_full_unstemmed She’-E-O Compensation Gap: A Role Congruity View
title_short She’-E-O Compensation Gap: A Role Congruity View
title_sort she’-e-o compensation gap: a role congruity view
url http://hdl.handle.net/20.500.11937/67620