In 2021 the average hourly gross earnings of females were 14.6 % lower than those of males. Compared to the year before the unadjusted gender pay gap has shrank by 7.7 percentage points.
In line with the European Union methodology the indicator is estimated based on the results of the Structure of Earnings Survey conducted once in four years (the last one on 2018). In years when the survey is not conducted, a provisional indicator is calculated using the data on Q1 the year (January–March) submitted in statistical report on labour.
In Q1 2021, compared to Q1 2020, restrictions to the business activity and state support measures imposed to mitigate the spread of Covid-19 pandemic had greater effect on employment and earnings of females. The number of female employees earning less dropped sharper than that of male employees, and the number of women among employees earning more grew faster than number of men, according to the provisional estimate of the Central Statistical Bureau of Latvia (CSB).
Government support in the form of idle time benefits covered the greatest number of employed persons in Q1 2021, compared to other periods of Covid-19 restrictions, wage subsidies were paid thus having notable influence on the gender pay gap. In some sectors of national economy, e.g., health care, increase was observed in both workload and remuneration.
The gap in earnings of males and females is affected by various social and economic factors – the number of males and females in a specific economic activity, their occupation and work duties, educational attainment, age, service increment, number of hours worked, etc. The indicator is calculated without excluding the effect of these factors, which might explain the reasons for the gap.
In 2021 the largest gender pay gap was observed in information and communication sector where hourly earnings of males were on average 31.1 % higher than those of females.
In terms of sectoral breakdown, gender pay gap was similar in both private and public sector – 15.5% and 15.6 %, respectively.
In 2021, the smallest gender gap in hourly earnings was recorded in the age group under 25 (8.4%) and among people aged 65 and over (9.3%), while the largest in age group 35–44 (22.3%, with earnings of males predominating) and age group 25–34 (19.1%).
In 2020, the EU average unadjusted gender pay gap constituted 13.0%. The largest gap was recorded in Latvia (22.3%) and Estonia (21.1%).