100 Percent Myth: The 77 cent wage gap statistic needs to go away.
This article originally appeared in US News & World Report.
Yesterday, The Way Station bar in Brooklyn sold drinks to women at a discount – 77 percent of their full price. Why? The bar announced, “According to The White House, full-time working women earn just 77 cents for every dollar a man earns. That’s some shameful s—-. So The Way Station is going to do something about it. On July 7th, or 7/7, this dubious honor will be recognized by charging all women 77 percent of what they owe, all night long.”
This latest stunt is consistent with the narrative that the statistic that women make 77 cents for each dollar men make is evidence of rampant sex discrimination. As I’ve written before, the use of the statistic this way has been widely debunked. It doesn’t take into account individual choices – choices that we want people to have – such as the type of work, hours worked and education level. And these choices impact earnings.
Unfortunately, context often loses when it comes to the issue of equal pay. The Washington Post’s “Fact Checker” blog found, for example, that Hillary Clinton, an outspoken advocate on the issue of equal pay, cited Republican quotes on the issue of equal pay out of context, earning her three Pinocchios in May.
While some women enjoyed cheaper cocktails at this “Dr. Who”-themed bar yesterday, we should all ask whether perpetuating this myth does more harm or good for women.