Essay Sample on Role of Education in Creating Loop Holes in Pay Gaps

Paper Type:  Essay
Pages:  7
Wordcount:  1902 Words
Date:  2022-12-02


Pay gaps otherwise known as wage gaps basically refer to the difference in wage rates between two different groups of people. Wage gaps help in ascertaining all the possible factors that may result in one class category of persons having a nether medial remuneration than another. They may also help in depicting disadvantages that are existent in the employment sector. Commonly discussed is the gender gap but somewhat still there exists other factors that add to the variety in the wage gap of individuals in whole. These range from location contrast in long and kind of work involved; fixations in lower-paying businesses or occupations, disability, ethnicity to name but a few. However, for my case study, I opted to discuss the role that Education, Training, and Experience play in causing a loophole in pay gaps. This is because the presence of pay gaps as a result of the difference in levels of expertise would result in penalties for individuals across various brackets.

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As I conducted my study, I sought to establish answers for the following questions: how does education implicate on pay gaps? How do the different educational levels relate to the variation in pay gaps as due in the uk?

For the prior knowledge I was keen to outline Training and experience influence both work request and work supply in the following way; Exceedingly gifted specialists are ordinarily regarded to be increasingly profitable to organizations and will earn the higher wage because they are deemed more productive. In the meantime, experienced and prepared laborers will, in general, be in progressively constrained supply, the two impacts lead to a higher genuine compensation in wages. This is simply because laborer's genuine pay relies upon how important and rare their capabilities stretch, as such, it thus dictates dependency on how significant their education and training is. This is to state that capabilities, at last, have a basic leveling power on by and large pay openings transversely over parity regions and are halfway because of contrasts in normal dimensions of capabilities over the gatherings thought about. I was likewise sharp enough to acknowledge pay holes to shift impressively over the diverse scope of capabilities as discussed below.

In this order, I sought to find the answer to the following questions; is it true that the higher the level of education the higher the wage due to hence wider disparity? Is education as a factor that influences pay gaps faced with individual level control variables?

The answer to my first question was indeed precise and certain. Yes. The higher the level of education, the higher the pay due to the practicing of the skill acquired. How was this so? According to the argument as posed by the common ideology model which surrounds degree programs, As such one would easily identify with the main dependent variable which is to be educated whilst still noticing that within it comes the independent variable on the level of higher education attained per different programs studied i.e. Those with four-year certifications who work either in the executives or science, innovation, designing, and arithmetic acquire more, overall, than individuals with cutting edge notches of any dimension who effort in fields like instruction, deals, and network administration. Additionally, those winning experts, doctoral, or proficient degrees are still sure to procure more amid their vocations than those with a lesser instruction level achieved (Anon, 2019).

For the second question, the answer was the same still; yes. In as much as education was a factor that created wage gaps, within it existed individual control variables. A good case example was where educated persons would by themselves opt to stay unemployed along the line, they had studied from in bids to seek self-employment. As a result, folks would eventually get paid in the line of duties where they did not graduate from but rather gained valuable skill and specialization via trial and error. Still, there would exist a bracket where persons had not pursued higher levels of education but would still get paid along self-proprietorship lines they chose to specialize in. henceforth, it was noted that persons of such brackets would get paid in their large populations thus affecting disparities in pay gaps that would have otherwise arisen as a result of them not being paid basically because they had not sought an education. As such, their choice to engage in sole proprietor businesses was noted to have helped close the wage gaps that usually banked on the need for one to get an education so as to get paid.

While conducting my study, most data was acquired from secondary sources. The key one being the labor force survey volume two and volume three journals where twelve sequential quarters of the Labor Force Survey (LFS) were profoundly placed being used, casing the three centuries which reached out from the last quarter of 2004 to the second from last quarter of the 2007 (July-Sep 2007). This was on the grounds that, schedule quarters were profit for all the twelve quarters and they secured the latest three-year an outcome, they along these lines offered the best tradeoff between number of pooled quarters and opportuneness of results and maintaining a strategic distance from the issue of consolidating regular and date-book quarters other than those two named previously. A Report of the National Equality Panel by J Hills and another entitled Pay Gaps crosswise over Equalities Areas by the foundation for social and monetary research was key in providing facts and related statistical and tabular data which were attached at the end of the report. An academic journal on how low-quality education was a poverty trap by Stellenbosch University was quite handy too.

Wage equations by education levels in the UK were derived for both men and women alike and stated in the tabular form. This cut across level one to four respectively Including the bracket for those with no qualifications and those with some qualification but of an education level below level two. This accommodated various ethnic groups for the white British folks in the UK. (HILLS, 2010)

J hills anatomy also certified the national equality panel based on the labor force survey for the period dated 1995-1997 and 2006-2008. Here capability of working age populace rates was determined to go from no capability, Level one or underneath. It was realized that the grade A to C bracket of the study had the highest population docket hence commanding the highest percentage. Those with no qualifications were the second in highest population whilst the ones on the higher degree recorded the least population noted in the working class due to the few numbers of graduates in that category. This is as shown in a graphical table at the end of the report. It was important that I induced statistical values in the tabular form to help visualize the idea in a way that was easier to understand.

Meanwhile while compiling general results in accordance to the study discussed in the above paragraph, one would easily deduce that the correlation of pay holes among laborers without any capabilities, occupied in rudimentary professions and between specialists with equal 4 or developed capabilities, occupied in expert professions proposed that wage holes are decreased at the larger amounts of training. This was as seen in the graphical representation on the table depictingfor the period dated 2006 to 2008 where the number of workers with higher education and degree holders rose steadily in a bid to match those with the higher degree qualification. Those with higher education and degrees ended up surpassing the number of those with higher degrees, with the latter commanding a huge pay in their fields of practice. This way, it was noted that the pay gap between them was well reduced since those of the higher education and the basic degree holders were also well paid in magnitudes closer to the higher degree owner's brackets.

Also, the tabular statistic on highest qualification, by nation and region was key when showing working populations in various education brackets for the two gender people alike as tabulated. In the bracket of working populace of men in the UK, one would easily deduce that in Northern Ireland, Scotland, England and Wales, GCE A level holders and GCSE A-C level holders were the largest working population bracket accounting for thirty and twenty percent of the working population respectively. This was closely followed by the bracket containing higher education working population and those who had absolutely no qualification at all. Degree holders and those with level 1 or below would somehow be accommodated in the latter bracket in as much as they commanded slightly lower numbers than those of higher education and those without any qualification. Above all, higher degree holders commanded the least percentages of the working population. For women, the tabular statistic for Ireland, England and Wales were quite similar. Women with GCE A level qualification and those of GSCE grades A-C or equivalents still put up the highest percentiles in numbers of the working thirty percent and twenty percent respectively. This was followed by women who had degrees, no qualification, Level 1 or below qualification and higher education whose percentiles were close and almost very similar. Of essence was that the higher degree scholars still accounted for the lowest percentage of the working population. The above data would prove to be quite essential in helping us breakdown variation in characteristics due to pay gaps hence better understanding of the same. (HILLS, 2010)

Further still, the 2007 Community Survey helped by giving additional proof to represent the effect of instruction quality on work and of how matric execution could go about as flag of work quality and future profitability. Data given by the review depended on three general classifications of Matric test accomplishments. This was named either endeavored or fizzled, passed or go with college exclusion underwriting. The examination being referred to exclusively centered around black specialists, in an offer to not to struggle the impacts of race and training quality, and the overview demonstrated that the individuals who had generally endeavored yet at the same time fizzled Matric confronted a joblessness rate of just about forty-eight percent. Conversely, the individuals who were considered to have passed Matric however neglected to acquire college exception were seen to have had a lower unemployment rate of about forty-two percent. More so in this line of thought, scholars who passed Matric with a college exception yet by one way or another did not keep on facilitating thinks about had an impressively lower joblessness rate of thirty-six percent. Matric exhibitions as examined dependent on the delineated classifications likewise influenced wages earned for the individuals who secured positions for example Those black laborers who had no higher capabilities than Matric however who were shown to have had accomplished a college exception in Matric earned twice as much as the individuals who had fizzled Matric; a ninety four rate higher, and very nearly a thirty percent more than the individuals who had passed it yet without college exclusion. In this setting plainly; the nature of the Matric was of substance. Examination for other race bunches indicated to some degree comparable, however increasingly quieted, impacts of the nature of Matric results on both business and profit.

Better still as required for the study, it was important that I formulated a regression analysis with tabular representation on wage equations by educational levels attained. For the regression analysis, I incorpor...

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