Publication:
How Have Gender Gaps in the Colombian Labor Market Changed during the Economic Recovery?

Loading...
Thumbnail Image
Files in English
English PDF (979.7 KB)
214 downloads
English Text (104.07 KB)
29 downloads
Date
2023-11-21
ISSN
Published
2023-11-21
Editor(s)
Abstract
This paper analyzes gender gaps in the Colombian labor market, with a particular focus on the impact of the COVID-19 shock and the economic recovery. Using household survey and administrative data, the analysis finds significant and persistent gender gaps in favor of men in terms of participation, unemployment, and income. These gaps are heterogeneous at the regional level in Colombia, and are exacerbated among women with children, particularly young children, and those with low levels of education. The COVID-19 pandemic widened these gaps, including from higher female concentration in the most affected sectors and potentially associated with the disproportionate burden of care on women. Moreover, using decomposition techniques, the paper finds that the decline observed in the hourly gender wage gap results from two offsetting effects: the explained gap, which favors women due to their endowments, primarily education level, and the unexplained gap, which favors men and may be associated with discriminatory biases. Moreover, the gender wage gap widens significantly when considering monthly income, showing variations in hours worked between men and women. Given the poorer labor market outcomes among women with children, policies toward the reduction and redistribution of care work within households could contribute to increase women’s opportunities in the labor market.
Link to Data Set
Citation
Dávalos, María E; Londoño, Diana; Medina, Daniel. 2023. How Have Gender Gaps in the Colombian Labor Market Changed during the Economic Recovery?. Policy Research Working Paper; 10605. © World Bank. http://hdl.handle.net/10986/40639 License: CC BY 3.0 IGO.
Associated URLs
Report Series
Report Series
Other publications in this report series
  • Publication
    Geopolitics and the World Trading System
    (Washington, DC: World Bank, 2024-12-23) Mattoo, Aaditya; Ruta, Michele; Staiger, Robert W.
    Until the beginning of this century, the GATT/WTO system worked. Economic research provided a compelling explanation. It showed that if governments maximize the well-being of their own countries broadly defined, GATT/WTO principles would facilitate mutually beneficial cooperation over their trade policy choices. Now heightened geopolitical rivalry seems to have undermined the WTO. A simple transposition of the previous rationalization suggests that geopolitics and trade cooperation are not compatible. The paper shows that this is only true if rivalry eclipses any consideration of own-country well-being. In all other circumstances, there are gains from trade cooperation even with geopolitics. Furthermore, the WTO’s relevance is in question only if it adheres too rigidly to its existing rules and norms. Through measured adaptation to the geopolitical imperative, the WTO can continue to thrive as a forum for multilateral trade cooperation in the age of geopolitics.
  • Publication
    Tradeoffs over Rate Cycles
    (Washington, DC: World Bank, 2025-05-23) Forbes, Kristin; Ha, Jongrim; Kose, M. Ayhan
    Central banks often face tradeoffs in how their monetary policy decisions impact economic activity (including employment), inflation and the price level. This paper assesses how these tradeoffs have evolved over time and varied across countries, with a focus on understanding the post-pandemic adjustment. To make these comparisons, we compile a cross-country, historical database of “rate cycles” (i.e., easing and tightening phases for monetary policy) for 24 advanced economies from 1970 through 2024. This allows us to quantify the characteristics of interest rate adjustments and corresponding macroeconomic outcomes and tradeoffs. We also calculate Sacrifice Ratios (output losses per inflation reduction) and document a historically low “sacrifice” during the post-pandemic tightening. This popular measure, however, ignores adjustments in the price level—which increased by more after the pandemic than over the past four decades. A series of regressions and simulations suggest monetary policy (and particularly the timing and aggressiveness of rate hikes) play a meaningful role in explaining these tradeoffs and how adjustments occur during tightening phases. Central bank credibility is the one measure we assess that corresponds to only positive outcomes and no difficult tradeoffs.
  • Publication
    Global Socio-economic Resilience to Natural Disasters
    (Washington, DC: World Bank, 2025-05-22) Middelanis, Robin; Jafino, Bramka Arga; Hill, Ruth; Nguyen, Minh Cong; Hallegatte, Stephane
    Most disaster risk assessments use damages to physical assets as their central metric, often neglecting distributional impacts and the coping and recovery capacity of affected people. To address this shortcoming, the concepts of well-being losses and socio-economic resilience—the ability to experience asset losses without a decline in well-being—have been proposed. This paper uses microsimulations to produce a global estimate of well-being losses from, and socio-economic resilience to, natural disasters, covering 132 countries. On average, each $1 in disaster-related asset losses results in well-being losses equivalent to a $2 uniform national drop in consumption, with significant variation within and across countries. The poorest income quintile within each country incurs only 9% of national asset losses but accounts for 33% of well-being losses. Compared to high-income countries, low-income countries experience 67% greater well-being losses per dollar of asset losses and require 56% more time to recover. Socio-economic resilience is uncorrelated with exposure or vulnerability to natural hazards. However, a 10 percent increase in GDP per capita is associated with a 0.9 percentage point gain in resilience, but this benefit arises indirectly—such as through higher rate of formal employment, better financial inclusion, and broader social protection coverage—rather than from higher income itself. This paper assess ten policy options and finds that socio-economic and financial interventions (such as insurance and social protection) can effectively complement asset-focused measures (e.g., construction standards) and that interventions targeting low-income populations usually have higher returns in terms of avoided well-being losses per dollar invested.
  • Publication
    From Chalkboards to Chatbots
    (Washington, DC: World Bank, 2025-05-20) De Simone, Martin; Tiberti, Federico; Barron Rodriguez, Maria; Manolio, Federico; Mosuro, Wuraola; Dikoru, Eliot Jolomi
    This study evaluates the impact of a program leveraging large language models for virtual tutoring in secondary education in Nigeria. Using a randomized controlled trial, the program deployed Microsoft Copilot (powered by GPT-4) to support first-year senior secondary students in English language learning over six weeks. The intervention demonstrated a significant improvement of 0.31 standard deviation on an assessment that included English topics aligned with the Nigerian curriculum, knowledge of artificial intelligence and digital skills. The effect on English, the main outcome of interest, was of 0.23 standard deviations. Cost-effectiveness analysis revealed substantial learning gains, equating to 1.5 to 2 years of ’business-as-usual’ schooling, situating the intervention among some of the most cost-effective programs to improve learning outcomes. An analysis of heterogeneous effects shows that while the program benefits students across the baseline ability distribution, the largest effects are for female students, and those with higher initial academic performance. The findings highlight that artificial intelligence-powered tutoring, when designed and used properly, can have transformative impacts in the education sector in low-resource settings.
  • Publication
    Disentangling the Key Economic Channels through Which Infrastructure Affects Jobs
    (Washington, DC: World Bank, 2025-04-03) Vagliasindi, Maria; Gorgulu, Nisan
    This paper takes stock of the literature on infrastructure and jobs published since the early 2000s, using a conceptual framework to identify the key channels through which different types of infrastructure impact jobs. Where relevant, it highlights the different approaches and findings in the cases of energy, digital, and transport infrastructure. Overall, the literature review provides strong evidence of infrastructure’s positive impact on employment, particularly for women. In the case of electricity, this impact arises from freeing time that would otherwise be spent on household tasks. Similarly, digital infrastructure, particularly mobile phone coverage, has demonstrated positive labor market effects, often driven by private sector investments rather than large public expenditures, which are typically required for other large-scale infrastructure projects. The evidence on structural transformation is also positive, with some notable exceptions, such as studies that find no significant impact on structural transformation in rural India in the cases of electricity and roads. Even with better market connections, remote areas may continue to lack economic opportunities, due to the absence of agglomeration economies and complementary inputs such as human capital. Accordingly, reducing transport costs alone may not be sufficient to drive economic transformation in rural areas. The spatial dimension of transformation is particularly relevant for transport, both internationally—by enhancing trade integration—and within countries, where economic development tends to drive firms and jobs toward urban centers, benefitting from economies scale and network effects. Turning to organizational transformation, evidence on skill bias in developing countries is more mixed than in developed countries and may vary considerably by context. Further research, especially on the possible reasons explaining the differences between developed and developing economies, is needed.
Journal
Journal Volume
Journal Issue

Related items

Showing items related by metadata.

  • Publication
    Fifteen Years of Inequality in Latin America : How Have Labor Markets Helped?
    (World Bank, Washington, DC, 2013-03) Dávalos, María Eugenia; Azevedo, João Pedro; Diaz-Bonilla, Carolina; Atuesta, Bernardo; Castañeda, Raul Andres
    Household income inequality has declined in Latin America in the past decades, contributing significantly to poverty reduction in the region. Although available evidence shows that changes in the labor income are among the main factors behind these inequality trends, few studies have analyzed more closely the labor market dynamics that have led to a decline in total income inequality in some countries, but also to an increase in others. Using household survey data for a sample of 15 countries in Latin America from 1995 to 2010, this paper uses an extension of the Juhn-Murphy-Pierce methodology to decompose changes in labor income inequality (hourly wages) into a quantity effect (capturing changes in the distribution of workers' skills), price effect (reflecting returns to skills), and unobservables effect (other components, within skill groups, affecting labor income). The results show that falling returns to skills for both education and experience is, on average, driving the decline in labor income inequality in Latin America. The quantity effect, in turn, has contributed little to inequality reduction, mostly attributable to a larger dispersion in years of experience, possibly linked to the region's demographic transition and to significant increases in female labor force participation. Additional findings show that wage inequality, still high in the region, is coupled with inequality in terms of hours worked. The paper complements the existing literature by presenting separate results for males and females, as well as formal and informal sector workers as an attempt to control for secular shifts in these characteristics.
  • Publication
    Insights into Key Challenges of the Albanian Labor Market
    (World Bank, Washington, DC, 2015-05) Dávalos, María E.; Cancho, César
    This note presents an overview of the Albanian labor market, and initial insights into the challenges for inclusive and better quality jobs. The note does not intend to be comprehensive, but rather aims at compiling – under an integrative jobs umbrella and the regional framework on jobs – some of the available data and evidence on the Albanian jobs challenge, part of which was prepared for the Albania Systematic Country Diagnostic of the World Bank. By employing the regional report’s framework, the note can guide the Government, development partners, civil society and other stakeholders in identifying the many knowledge gaps that remain for a comprehensive jobs agenda and the work needed towards completing the picture.
  • Publication
    International Migration and Gender Differentials in the Home Labor Market : Evidence from Albania
    (2009-04-01) Mendola, Mariapia; Carletto, Gero
    This paper examines the role of male-dominated international migration in shaping labor market outcomes by gender in migrant-sending households in Albania. Using detailed information on family migration experience from the latest Living Standards Measurement Study survey, the authors find that male and female labor supplies respond differently to the current and past migration episodes of household members. Controlling for the potential endogeneity of migration and for the income (remittances) effect, the estimates show that having a migrant abroad decreases female paid labor supply and increases unpaid work. However, women with past family migration experience are significantly more likely to engage in self-employment and less likely to supply unpaid work. The same relationships do not hold for men. These findings suggest that over time male-dominated Albanian migration may lead to women's empowerment in access to income-earning opportunities at the origin.
  • Publication
    Mongolia : Gender Disparities in Labor Markets and Policy Suggestions
    (World Bank, Washington, DC, 2013-01) Khan, Tehmina; Aslam, Monazza
    Mongolia has made strong progress on key gender-related Millennium Development Goals (MDGs) in recent years. Gender indicators in education and health are also better in many respects than in comparator countries in the East Asia and Pacific region. Women have a limited presence in higher level managerial positions and in entrepreneurial work, and working women also have to shoulder most of the household and care duties compared to men. These inequalities can have large impacts on development, growth and productivity as well as pervasive intergenerational social costs. Removing impediments to full and equal participation for women in the economy, providing equal access to economic resources and opportunities and eliminating discrimination can boost productivity and competitiveness for firms with wider benefits for the economy and within the household. A range of potential policy actions can be considered, including improving employment outcomes (wages, career progression) for women in the public sector, introducing more friendly parental leave policies that cover both fathers and mothers, improving child care services and introducing affirmative action policies in sectors where women are acutely under-represented such as mining. In addition, business regulations can be streamlined to make it easier to start and operate businesses for both men and women. Other policies that may be helpful include promoting awareness of and encouraging the development of (appropriately regulated and supervised) micro-lending institutions.
  • Publication
    Gender Inequality in the Labor Market in Serbia
    (World Bank, Washington, DC, 2012-03) Reva, Anna
    This paper presents a broad overview of labor market indicators for men and women in Serbia with a focus on employment patterns, entrepreneurship and career advancement as well as earnings differentials. The analysis relies primarily on the results of the Labor Force Surveys conducted in Serbia in April 2008 and October 2009. The findings show that although the overall labor market situation in Serbia is difficult, women are in a much more disadvantageous position than men. Women are much less likely to be employed, start a business or advance in the political arena. Furthermore, there is a significant wage gap between men and women in a number of sectors and occupational groups with low educated women being particularly disadvantaged. The results of the Oaxaca-Blinder decomposition demonstrate that the wage gap is indicative of discrimination of women in the labor market as earnings differentials cannot be explained by differences in observed characteristics of male and female employees. Based on the obtained results, the paper outlines four broad areas that require the attention of policy-makers: employment generation; enhancement of education outcomes; improvement of the regulatory environment and support to women's business and political careers; and promotion of transparent performance setting mechanisms.

Users also downloaded

Showing related downloaded files

  • Publication
    Europe and Central Asia Economic Update, Fall 2024: Better Education for Stronger Growth
    (Washington, DC: World Bank, 2024-10-17) Izvorski, Ivailo; Kasyanenko, Sergiy; Lokshin, Michael M.; Torre, Iván
    Economic growth in Europe and Central Asia (ECA) is likely to moderate from 3.5 percent in 2023 to 3.3 percent this year. This is significantly weaker than the 4.1 percent average growth in 2000-19. Growth this year is driven by expansionary fiscal policies and strong private consumption. External demand is less favorable because of weak economic expansion in major trading partners, like the European Union. Growth is likely to slow further in 2025, mostly because of the easing of expansion in the Russian Federation and Turkiye. This Europe and Central Asia Economic Update calls for a major overhaul of education systems across the region, particularly higher education, to unleash the talent needed to reinvigorate growth and boost convergence with high-income countries. Universities in the region suffer from poor management, outdated curricula, and inadequate funding and infrastructure. A mismatch between graduates' skills and the skills employers are seeking leads to wasted potential and contributes to the region's brain drain. Reversing the decline in the quality of education will require prioritizing improvements in teacher training, updated curricula, and investment in educational infrastructure. In higher education, reforms are needed to consolidate university systems, integrate them with research centers, and provide reskilling opportunities for adult workers.
  • Publication
    Digital Progress and Trends Report 2023
    (Washington, DC: World Bank, 2024-03-05) World Bank
    Digitalization is the transformational opportunity of our time. The digital sector has become a powerhouse of innovation, economic growth, and job creation. Value added in the IT services sector grew at 8 percent annually during 2000–22, nearly twice as fast as the global economy. Employment growth in IT services reached 7 percent annually, six times higher than total employment growth. The diffusion and adoption of digital technologies are just as critical as their invention. Digital uptake has accelerated since the COVID-19 pandemic, with 1.5 billion new internet users added from 2018 to 2022. The share of firms investing in digital solutions around the world has more than doubled from 2020 to 2022. Low-income countries, vulnerable populations, and small firms, however, have been falling behind, while transformative digital innovations such as artificial intelligence (AI) have been accelerating in higher-income countries. Although more than 90 percent of the population in high-income countries was online in 2022, only one in four people in low-income countries used the internet, and the speed of their connection was typically only a small fraction of that in wealthier countries. As businesses in technologically advanced countries integrate generative AI into their products and services, less than half of the businesses in many low- and middle-income countries have an internet connection. The growing digital divide is exacerbating the poverty and productivity gaps between richer and poorer economies. The Digital Progress and Trends Report series will track global digitalization progress and highlight policy trends, debates, and implications for low- and middle-income countries. The series adds to the global efforts to study the progress and trends of digitalization in two main ways: · By compiling, curating, and analyzing data from diverse sources to present a comprehensive picture of digitalization in low- and middle-income countries, including in-depth analyses on understudied topics. · By developing insights on policy opportunities, challenges, and debates and reflecting the perspectives of various stakeholders and the World Bank’s operational experiences. This report, the first in the series, aims to inform evidence-based policy making and motivate action among internal and external audiences and stakeholders. The report will bring global attention to high-performing countries that have valuable experience to share as well as to areas where efforts will need to be redoubled.
  • Publication
    Poverty and Shared Prosperity 2022
    (Washington, DC : World Bank, 2022) World Bank
    Poverty and Shared Prosperity 2022: Correcting Course provides the first comprehensive analysis of the pandemic’s toll on poverty in developing countries. It identifies how governments can optimize fiscal policy to help correct course. Fiscal policies offset the impact of COVID-19 on poverty in many high-income countries, but those policies offset barely one quarter of the pandemic’s impact in low-income countries and lower-middle-income countries. Improving support to households as crises continue will require reorienting protective spending away from generally regressive and inefficient subsidies and toward a direct transfer support system—a first key priority. Reorienting fiscal spending toward supporting growth is a second key priority identified by the report. Some of the highest-value public spending often pays out decades later. Amid crises, it is difficult to protect such investments, but it is essential to do so. Finally, it is not enough just to spend wisely - when additional revenue does need to be mobilized, it must be done in a way that minimizes reductions in poor people’s incomes. The report highlights how exploring underused forms of progressive taxation and increasing the efficiency of tax collection can help in this regard. Poverty and Shared Prosperity is a biennial series that reports on global trends in poverty and shared prosperity. Each report also explores a central challenge to poverty reduction and boosting shared prosperity, assessing what works well and what does not in different settings. By bringing together the latest evidence, this corporate flagship report provides a foundation for informed advocacy around ending extreme poverty and improving the lives of the poorest in every country in the world. For more information, please visit worldbank.org/poverty-and-shared-prosperity.
  • Publication
    State and Trends of Carbon Pricing 2024
    (Washington, DC: World Bank, 2024-05-21) World Bank
    This report provides an up-to-date overview of existing and emerging carbon pricing instruments around the world, including international, national, and subnational initiatives. It also investigates trends surrounding the development and implementation of carbon pricing instruments and some of the drivers seen over the past year. Specifically, this report covers carbon taxes, emissions trading systems (ETSs), and crediting mechanisms. Key topics covered in the 2024 report include uptake of ETSs and carbon taxes in low- and middle- income economies, sectoral coverage of ETSs and carbon taxes, and the use of crediting mechanisms as part of the policy mix.
  • Publication
    Supporting Youth at Risk
    (World Bank, Washington, DC, 2008) Cohan, Lorena M.; Cunningham, Wendy; Naudeau, Sophie; McGinnis, Linda
    The World Bank has produced this policy Toolkit in response to a growing demand from our government clients and partners for advice on how to create and implement effective policies for at-risk youth. The author has highlighted 22 policies (six core policies, nine promising policies, and seven general policies) that have been effective in addressing the following five key risk areas for young people around the world: (i) youth unemployment, underemployment, and lack of formal sector employment; (ii) early school leaving; (iii) risky sexual behavior leading to early childbearing and HIV/AIDS; (iv) crime and violence; and (v) substance abuse. The objective of this Toolkit is to serve as a practical guide for policy makers in middle-income countries as well as professionals working within the area of youth development on how to develop and implement an effective policy portfolio to foster healthy and positive youth development.