Persistent gap

Pakistan has a unique tendency to top all the wrong lists. The latest report by the International Labour Organisation (ILO) manifests this troubling reality. According to the report, Pakistan ranks among the worst globally in terms of gender pay disparity, with women earning 25 per cent less than men per hour and 30 per cent less per month due to fewer working hours. The fact that much of this gap remains unexplained by differences in education, skills or experience points to the systemic discrimination entrenched in the country’s labour market. What makes Pakistan’s situation even grimmer is its comparison with regional peers. Sri Lanka records a 22 per cent gender pay gap, Nepal 18 per cent, while Bangladesh has effectively reversed the gap, with women earning slightly more than men on average. In Pakistan, although the pay gap in the formal sector is relatively low, it soars past 40 per cent in informal and household jobs. Women in Pakistan earn a mere Rs750 for every Rs1,000 earned by men. While some improvement has been noted -- down from a 33 per cent gap in 2018 -- the progress is far too slow to suggest any meaningful transformation.

The consequences of this disparity are devastating. Women working in the informal sector often earn significantly less than the mandated minimum wage, making it nearly impossible for them to meet basic needs. Many of these women are sole breadwinners, struggling to provide for their families without any financial support from male relatives. The widening gap between wages and the cost of living has pushed many low-income and working-class women further into poverty. Even after grueling work hours, most remain unable to afford quality education for their children or ensure a nutritious diet for their households. Beyond economic hardships, financial dependence traps women in abusive and toxic households. A woman’s ability to escape domestic violence is often contingent on her financial independence. Low wages also prevent women from accessing credit or financial assistance, the gender pay gap perpetuating a vicious cycle of oppression and marginalisation.

A country where women constitute nearly 50 per cent of the population cannot afford to keep them economically sidelined. Yet, the political leadership continues to neglect gender issues in their policy discussions and election manifestos. Nations that have invested in closing gender gaps have reaped significant economic benefits. Pakistan must follow suit if it hopes to achieve sustainable development and economic stability. The government must prioritise reforms in the informal sector, where wage exploitation is at its worst. Regular wage surveys should be conducted to assess earning patterns, identify disparities and enforce equitable pay structures. Policies that strengthen women’s negotiating power in the workforce, such as collective bargaining mechanisms and legal protections against wage discrimination, need to be actively implemented. The world has moved past archaic notions of gender-based wage discrimination, and Pakistan should do the same.