This is the accessible text file for GAO report number GAO-02-648T entitled 'Women In Management: Analysis of Current Population Survey Data' which was released on April 22, 2002. This text file was formatted by the U.S. General Accounting Office (GAO) to be accessible to users with visual impairments, as part of a longer term project to improve GAO products' accessibility. Every attempt has been made to maintain the structural and data integrity of the original printed product. Accessibility features, such as text descriptions of tables, consecutively numbered footnotes placed at the end of the file, and the text of agency comment letters, are provided but may not exactly duplicate the presentation or format of the printed version. The portable document format (PDF) file is an exact electronic replica of the printed version. We welcome your feedback. Please E-mail your comments regarding the contents or accessibility features of this document to Webmaster@gao.gov. This is a work of the U.S. government and is not subject to copyright protection in the United States. It may be reproduced and distributed in its entirety without further permission from GAO. Because this work may contain copyrighted images or other material, permission from the copyright holder may be necessary if you wish to reproduce this material separately. United States General Accounting Office: GAO: Testimony: Before the Subcommittee on Government Efficiency, Financial Management, and Intergovernmental Relations, Committee on Government Reform, House of Representatives. For Release on Delivery: Expected at 9:00 a.m. EDT: Monday, April 22, 2002: Women In Management: Analysis of Current Population Survey Data: Statement of Robert E. Robertson, Director: Education, Workforce, and Income Security Issues: GAO-02-648T: Mr. Chairman and Members of the Subcommittee: I am pleased to be here today to discuss the findings from our October 2001 report Women in Management: Analysis of Selected Data from the Current Population Survey (GAO-02-156). In that report, we (1) analyzed key characteristics of women and men in management positions, (2) identified how women were represented in management positions compared to their representation in all positions within particular industries, and (3) identified salary differentials between men and women in full- time management positions. In conducting our work, we relied upon relevant data from the Department of Labor’s Current Population Survey (CPS),[Footnote 1] focusing on 10 industries: communications; public administration; business and repair services; entertainment and recreation services; other professional services; educational services; retail trade; finance, insurance, and real estate; hospitals and medical services; and professional medical services. According to CPS, these 10 industries accounted for about 70 percent of all wage and salary positions filled by women in 2000.[Footnote 2] Using existing occupational titles within CPS, we defined managers as all occupational titles that included the words administrator, director, manager, or supervisor.[Footnote 3] To identify salary differentials between male and female full-time managers, we conducted statistical analyses of CPS data, controlling for the effect of education, age, marital status, and race. The source data we relied on has several limitations that need to be considered when reviewing our findings. For example, the CPS data does not contain some of the key information that would be necessary to identify causes for salary differentials, such as years of experience or job responsibility. Also, CPS data are self-reported by respondents and are not independently verified. We conducted our work between August and October 2001 in accordance with generally accepted government auditing standards. In summary, we found the following: * Female managers in the 10 industries we examined generally had less education, were younger, were more likely to work part-time, and were less likely to be married than male managers. * In 5 of these industries, there was no statistically significant difference between the percent of industry positions filled by women and the percent of management positions filled by women. For the other 5, however, statistically significant differences did exist. In 4 of the industries, women were less represented in management positions than they were in all positions. In 1 of these industries, women were represented in management positions to a greater degree than they were in all positions in the industry. * Full-time female managers earned less than full-time male managers in all 10 industries, after controlling for education, age, marital status, and race. As noted above, we were not able to take years of experience into account. Female Manager Characteristics Differed from Those of Male Managers in Terms of Education, Age, Part-Time Status, and Marital Status: According to the March 2000 CPS, a smaller proportion of female managers in 5 of the 10 industries had a college degree or greater, compared to male managers within the same industries. One of the greatest differences between educational levels was in professional medical services (an industry including clinics and physicians’ offices), where an estimated 30 percent of female managers had a college degree or greater, compared with an estimated 70 percent of male managers. Figure 1: Percent of Managers with College Degree or Greater in Selected Industries, 2000: [Refer to PDF for image] This figure is a multiple vertical bar graph depicting the percent of managers with college degree or greater in selected industries in 2000. Vertical bars depict the percentage of male managers and female managers in the following industries: Communications[A]; Public administration[A]; Business and repair services[A]; Entertainment and recreation services[A]; Other professional services; Educational services; Retail trade; Finance, insurance, and real estate; Hospitals and medical services[A]; Professional medical services. [A] Denotes differences that are not statistically significant. [End of figure] Female managers in most of the industries we examined were younger than their male counterparts, although for both men and women, the youngest managers were, on average, in retail trade (39 and 37 years, respectively) while the oldest, on average, were in public administration (48 and 46 years, respectively). Across the 10 industries, female managers were between 1 and 5 years younger than male managers (see table 1). For example, in other professional services (which includes legal services and accounting/bookkeeping services), female managers averaged about 5 years younger (40 versus 45) than their male manager counterparts. Hospitals and medical services were the only industry where female managers were older than male managers—in that industry, they were about 1 year older than male managers. Table 1: Average Age of Managers in Selected Industries, 2000: Industry: Communications; Average age of male managers: 42.9; Average age of female managers: 40.4. Industry: Public administration; Average age of male managers: 47.6; Average age of female managers: 45.6. Industry: Business and repair services; Average age of male managers: 40.6; Average age of female managers: 38.3. Industry: Entertainment and recreation services; Average age of male managers: 39.8; Average age of female managers: 38.4. Industry: Other professional services; Average age of male managers: 44.5; Average age of female managers: 39.8. Industry: Educational services; Average age of male managers: 46.8; Average age of female managers: 44.3. Industry: Retail trade; Average age of male managers: 38.9; Average age of female managers: 37.3. Industry: Finance, insurance, and real estate; Average age of male managers: 45.1; Average age of female managers: 41.1. Industry: Hospitals and medical services; Average age of male managers: 43.7; Average age of female managers: 44.5. Industry: Professional medical services; Average age of male managers: 42.7; Average age of female managers: 41.6. [End of table] In addition to generally being younger, female managers were more likely to work part-time than male managers in most of the 10 industries we examined (see figure 2). For example, in professional medical services, female managers were an estimated four times more likely than male managers to work part-time. In finance, insurance, and real estate, there was no significant difference between the percent of male and female managers working part-time—both were at about 13 percent. Figure 2: Percent of Managers Working Part-Time in Selected Industries, 2000: [Refer to PDF for image] This figure is a multiple vertical bar graph depicting the percent of managers working part-time in selected industries in 2000. Vertical bars depict the percentage of male managers and female managers in the following industries: Communications[A]; Public administration[A]; Business and repair services[A]; Entertainment and recreation services[A]; Other professional services; Educational services; Retail trade; Finance, insurance, and real estate; Hospitals and medical services[A]; Professional medical services. [A] Denotes differences that are not statistically significant. [End of figure] Female managers were also less likely to be married across most of the 10 industries we examined (see figure 3). The percent of male managers who were married ranged from an estimated low of 62 percent in retail trade to an estimated high of 96 percent in professional medical services, whereas the percent of married female managers ranged from an estimated low of 48 percent in entertainment and recreation services to an estimated high of only 69 percent in professional medical services. Figure 3: Percent of Managers Who Were Married in Selected Industries, 2000: [Refer to PDF for image] This figure is a multiple vertical bar graph depicting the percent of managers who were married in selected industries in 2000. Vertical bars depict the percentage of male managers and female managers in the following industries: Communications[A]; Public administration[A]; Business and repair services[A]; Entertainment and recreation services[A]; Other professional services; Educational services; Retail trade; Finance, insurance, and real estate; Hospitals and medical services[A]; Professional medical services. [A] Denotes differences that are not statistically significant. [End of figure] Women Were Proportionately Represented as Managers in Five of the Industries We Examined: For 5 of the industries we studied, the percent of industry positions filled by women was not significantly different from the percent of management positions filled by women, according to CPS 2000 data. In that respect, women were proportionately represented as managers in these 5 industries: communications, public administration, business and repair services, entertainment and recreation services, and other professional services (see figure 4). In contrast, for the other 5 industries, the percent of industry positions filled by women was significantly different from the percent of management positions filled by women. For example, in educational services; retail trade; finance, insurance and real estate; and hospitals and medical services women were less represented in management positions than they were in all positions. In professional medical services, the opposite was true: women were represented to a greater degree in management positions (90 percent) than they were in industry positions (80 percent). We found that these relationships were the same in 1995 as they were in 2000 with the exception of 1 industry. In entertainment and recreation services, women were less represented in management positions than they were in all industry positions in 1995; by 2000, there was no significant difference between the two. Figure 4: Percent of Industry Positions and Management Positions in Selected Industries Filled By Women, 2000: [Refer to PDF for image] This figure is a multiple vertical bar graph depicting the percent of industry positions and management positions in selected industries filled by women in 2000. Vertical bars depict the percentage of male managers and female managers in the following industries: Communications[A]; Public administration[A]; Business and repair services[A]; Entertainment and recreation services[A]; Other professional services; Educational services; Retail trade; Finance, insurance, and real estate; Hospitals and medical services[A]; Professional medical services. [A] Denotes differences that are not statistically significant. [End of figure] Full-Time Female Managers Earned less than Their Male Counterparts: In all of the 10 industries we examined, we found that full-time female managers earned less than full-time male managers in both 1995 and 2000, after controlling for education, age, marital status, and race, but not for years of experience. For example, in 1995, we found that full-time female managers earned an estimated low of $0.69 for every $1 earned by full-time male managers in retail trade to an estimated high of $0.90 in professional medical services. For 2000, we found that full-time female managers earned an estimated low of $0.62 for every $1 earned by full-time male managers in entertainment and recreation services, compared to an estimated high of $0.91 in educational services (see table 2). Table 2: Full-Time Manager Salary Differentials for Selected Industries, 1995 and 2000: Industry: Communications; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.86; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.73. Industry: Public administration; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.80; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.83. Industry: Business and repair services; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.82; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.76. Industry: Entertainment and recreation services; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.83; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.62. Industry: Other professional services; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.88; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.83. Industry: Educational services; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.86; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.91. Industry: Retail trade; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.69; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.65. Industry: Finance, insurance, and real estate; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.76; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.68. Industry: Hospitals and medical services; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.80; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.85. Industry: Professional medical services; Full-time female manager earnings for every $1 earned by male full-time managers, 1995: $0.90; Full-time female manager earnings for every $1 earned by male full-time managers, 2000: $0.88. [End of table] Differences in salary differentials between 1995 and 2000 should not necessarily be seen as a trend. Salary levels in either of these 2 years could represent a temporary fluctuation and more extensive analysis over an extended period of time would be needed to determine trends in differences between male and female full-time manager salaries. Mr. Chairman, this concludes my prepared statement. I will be happy to answer any questions you or members of the Subcommittee may have. GAO Contacts and Acknowledgments: For future contacts regarding this testimony, please contact Robert E. Robertson at (202) 512-7215. Key contributors to this testimony were Lori Rectanus and Wendy Ahmed. [End of section] Appendix I: Description of Selected Industries and Percent of All Positions Filled by Women, 2000: Industry: Communications Types of establishments in the industry: Radio and television broadcasting, telephone communications; Percent of all wage and salary positions accounted for by industry: 1.3. Industry: Public administration; Types of establishments in the industry: Executive and legislative offices, general government, and public finance; Percent of all wage and salary positions accounted for by industry: 4.4. Industry: Business and repair services; Types of establishments in the industry: Advertising, personnel supply, computer and data processing, and electrical repair; Percent of all wage and salary positions accounted for by industry: 5.2. Industry: Entertainment and recreation services; Types of establishments in the industry: Theaters, motion pictures, videotape rental, bowling centers, and amusement parks; Percent of all wage and salary positions accounted for by industry: 1.7. Industry: Other professional services; Types of establishments in the industry: Legal services, accounting and bookkeeping, and management services; Percent of all wage and salary positions accounted for by industry: 4.7. Industry: Educational services; Types of establishments in the industry: Elementary and secondary schools, colleges and universities, vocational schools, and libraries; Percent of all wage and salary positions accounted for by industry: 13.1. Industry: Retail trade; Types of establishments in the industry: Retail stores, catalog and mail order houses, gas stations, and vending machine operators; Percent of all wage and salary positions accounted for by industry: 18.5. Industry: Finance, insurance, and real estate; Types of establishments in the industry: Banking, savings institutions, credit agencies, security and commodity companies, insurance, and real estate; Percent of all wage and salary positions accounted for by industry: 8. Industry: Hospitals and medical services; Types of establishments in the industry: Hospitals, nursing facilities, and health services; Percent of all wage and salary positions accounted for by industry: 11.4. Industry: Professional medical services; Types of establishments in the industry: Clinics and physicians’ offices; Percent of all wage and salary positions accounted for by industry: 3. Total, 10 industries: Percent of all wage and salary positions accounted for by industry: 71.3. [End of table] [End of section] Footnotes: [1] The CPS is a monthly survey of about 50,000 households that obtains key labor force data, such as employment, wages, and occupations. In a supplement to the monthly March survey each year, additional information is obtained, such as for educational attainment. The data collected in March of 2000 represent labor force data for 1999. The information presented in this testimony are estimates and have some sampling errors associated with them. [2] Appendix I provides brief descriptions of the types of establishments in these industries. [3] By doing so, we included 39 different occupational titles. These titles included a wide range of positions, for example, general administrators, managers of food or lodging establishments, and sales supervisors. [End of section] GAO’s Mission: The General Accounting Office, the investigative arm of Congress, exists to support Congress in meeting its constitutional responsibilities and to help improve the performance and accountability of the federal government for the American people. 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