Too Many Americans Suffer from Financial Instability. Their Employers Can Help Fix It
December 22 | Jonathan Morduch | Comments (0)
If it was ever true that “a rising tide lifts all boats” in an economic sense, it is clearly not true in modern America. Since 1980 half of Americans have been stuck in place—their wages in real terms haven’t budged—while the top 20% have seen large gains.
Gay Men Used to Earn Less than Straight Men; Now They Earn More
December 20 | Kitt Carpenter | Comments (0)
Whether these massive changes have translated into improvements in workplace outcomes for the average gay man or lesbian, however, is not so obvious. There is, for example, no federal nondiscrimination protection on the basis of sexual orientation or gender identity. A natural question, then, is: have the shifts in approval of LGBTQ individuals corresponded to equivalent improvements in their paychecks?
How Digital Tools and Behavioral Economics Will Save Retirement
December 17 | Shlomo Benartzi, Professor, Anderson School of Management, UCLA | Comments (0)
In the domain of retirement savings, Nobel laureate Richard Thaler and I devised a program called Save More Tomorrow back in the mid-1990s that used nudges to help people make better decisions about their long-term financial future. That program invites employees to gradually increase their savings rate over time, and it has been a success: according to my latest estimates, it has boosted the savings rates of as many as 15 million Americans.
How the Gender Pay Gap Widens as Women Get Promoted
December 08 | Lydia Frank | Comments (0)
We’ve all heard the figures around the gender pay gap — that women earn 70-something cents on the dollar, depending on the data source you use, compared to men. A lot of what contributes to that gap is the variance in earning potential between the industries and job types that women and men dominate, with women holding more “caretaking” jobs (e.g. healthcare, social work, education) in our society while men hold more technical jobs (e.g. engineering, computer science).
It’s Time to Tie Executive Compensation to Sustainability
December 08 | Seymour Burchman, Managing Director, Semler Brossy | Comments (0)
Despite conflicting messages about climate change from U.S. government leaders, sustainability is getting more and more attention at American companies. Shareholders are ratcheting up their demands on environmental and social issues. Consumers are registering their concerns about how companies make their products. And talented Millennial employees are voting with their feet by leaving laggard companies behind.
Why We Need to Stop Obsessing Over CEO Pay Ratios
December 08 | Alex Edmans | Comments (0)
The numbers are striking. In 2015 U.S. CEOs earned 335 times the pay of the average worker. In the U.K. they earn 129 times more; the High Pay Centre marked “Fat Cat Wednesday” (January 4, 2017) as the day by when a CEO has already earned more than an average worker earns in the entire year.
Everyone Likes Flex Time, but We Punish Women Who Use It
November 05 | David Burkus, Assistant Professor of Management, Oral Roberts University. | Comments (0)
Offering flexible workplace schedules seems like a no-brainer. Work has become more flexible — tied less to specific times and places — and gender roles have changed. Letting employees shift their hours to accommodate hectic life schedules makes sense. Surveys show that flex time ranks high on the list of benefits employees want and that women value it even more than men do.
28 Years of Stock Market Data Shows a Link Between Employee Satisfaction and Long-Term Value
October 29 | Alex Edmans | Comments (0)
Does employee satisfaction improve firm value? The answer to this question is not obvious. While it seems natural that satisfaction will facilitate worker recruitment, retention, and motivation, investing it is costly. So the question is, do the benefits outweigh the costs?