20 States With the Smallest Gender Pay Gap in 2023
In this article, we will be looking at 20 states with the smallest gender pay gap in 2023. If you want to skip our detailed analysis of the US job market, you can go directly to 5 States With the Smallest Gender Pay Gap in 2023.
Gender pay gap remains a significant challenge in the United States as women earn significantly less than men on average. However, many states are working towards closing this gap through initiatives and policies that promote greater gender pay equity. You can also take a look at the most gender and income equal countries in the world.
Women in the Job Market
Women continue to play an increasingly important role in the global workforce. While steps have been taken towards equality, challenges continue to exist, from underrepresentation in leadership positions to persistent pay gaps.
The World’s Women 2020 report by the United Nations highlighted the vast gap in global labor market participation between genders. With a mere 47% of working age women engaged in the labor market as of 2020, compared to 74% of men, this gender disparity has remained relatively constant since 1995. The report also mentions that the number is even lower in Southern Asia, Northern Africa, and Western Asia, where less than 30% of women were participating in the labor market.
However, McKinsey & Company’s Women in the Workplace 2023 report, which is a study of women in corporate America and Canada conducted in partnership with LeanIn.Org, reveals that women’s representation in the C-suite is at the highest it has ever been. Since 2018, the number of women in the C-suite has increased from 22% to 28%. Female representation has also experienced notable growth at the vice president and senior vice president levels. The report reveals that in 2023, for every 100 men promoted to manager, 87 women received the same promotion.
While the gender gap in labor market participation is smaller in the United States compared to the global average, it still exists and requires ongoing efforts to achieve gender parity in labor market participation. Participation of more women in the labor market can significantly improve the global economy. The Council on Foreign Relations (CFR) claims that closing the gender gap could significantly boost the global GDP, by unlocking an additional $28 trillion in economic potential.
According to a study by Pew Research Center, women earned an average of 82% of what men earned in 2022. The pay gap has only decreased by 2% over 20 years as women were earning 80% of what men were earning in 2002. Needless to say, the progress made over the last two decades is very little.
Closing the Gap: A Look at Companies Leading the Charge in Pay Equity
A number of companies around the world and in the US are taking steps to close the wage gap by offering equal pay and equal opportunities to all employees, regardless of gender. According to the 6th annual Racial and Gender Pay Scorecard by Arjuna Capital and Proxy Impact, which was released in March 2023, some of the companies that achieved 100% adjusted equal pay for women include American Express Company (NYSE:AXP), Target Corporation (NYSE:TGT), and Adobe Inc. (NASDAQ:ADBE). Let’s take a look at what these companies are up to.
American Express Company (NYSE:AXP) is a multinational financial services corporation that specializes in payment cards. According to the Gender Pay Gap 2022 report by American Express Company (NYSE:AXP), the company has 100% equal pay globally and all the employees in the same or similar roles are paid equally. On November 7, American Express Company (NYSE:AXP) announced that in support of small businesses, it is making American Express Business Checking available to all eligible small businesses in the US. This digital banking solution boasts 24/7 service, no monthly maintenance fees, and the ability to earn and redeem Membership Rewards points with select travel partners and for deposits directly into their Business Checking account. Launched in October 2021, American Express Business Checking had previously been available to existing US American Express Card Members. Moreover, American Express Business Checking is branchless and it empowers business owners to manage their finances anytime and anywhere, through convenient digital tools.
Adobe Inc. (NASDAQ:ADBE) is an American multinational computer software company that ranks high among the biggest technology companies in the world. Adobe Inc. (NASDAQ:ADBE) claims that for Fiscal Year 2022, it maintained a 1:1 pay parity ratio between women and men globally.
On October 10, Adobe Inc. (NASDAQ:ADBE) announced the launch of the next generation of Firefly models at the annual creativity conference “Adobe MAX”. Adobe Firefly Image 2 Model, Adobe Firefly Vector Model, and Adobe Firefly Design Model are the 3 new major additions in Adobe Inc.’s (NASDAQ:ADBE) family of generative AI. The new Adobe Firefly Image 2 is the next generation of generative AI for imaging that generates higher-quality images and illustrations. It provides better colors and improved dynamic range while also offering a new level of creative control and quality to users. The new Adobe Firefly Vector Model is the world’s first generative AI for vector graphics, and it has the ability to significantly speed up marketing and advertising graphic creation. The new Adobe Firefly Design Model powers instant generation of stunning template designs in Adobe Express with the new Text to Template capability.
Based in the US, Target Corporation (NYSE:TGT) is a retail corporation that operates a chain of discount department stores and hypermarkets. Target Corporation (NYSE:TGT) claims that all of its team members are paid equitably, regardless of gender, race or ethnicity.
Now that we have discussed what's going on at some of the companies that are committed to closing the gender wage gap, let’s take a look at 20 states with the smallest gender pay gap in 2023.
Rawpixel.com/Shutterstock.com
Methodology
In this article, we have listed 20 states with the smallest gender pay gap in 2023. To collect data for our list, we consulted the National Women's Law Center, which is a United States non-profit organization. This database provided us with state-level data on what women make for every dollar men make and the median earnings for men and women working full time, year round in each state. We used the amount that women make for every dollar men make as the primary metric to rank the 20 states with the smallest gender pay gap. We used the median earnings of female workers as our secondary metric. In the case where multiple states had the same wage gap, tie breaking was done on the basis of median earnings of female workers in each state. The states where women earned higher are ranked higher up on our list.
20 States With the Smallest Gender Pay Gap in 2023
20. Pennsylvania
What Women Make for Every Dollar Men Make: $0.82
Median Earnings of Female Workers: $52,070
First up on our list of 20 states with the smallest gender pay gap in 2023 is Pennsylvania. Despite being the 33rd-largest by area, Pennsylvania is the fifth-most populated state in the US. According to recently reported data, women in Pennsylvania make 82 cents for every dollar men make, and the median earnings of female workers working full time in the state stand at $52,070.
19. Washington
What Women Make for Every Dollar Men Make: $0.82
Median Earnings of Female Workers: $61,862
The state of Washington in the Pacific Northwest region ranks among the richest states in America. In Washington state, women make 82 cents for every dollar made by their male counterparts. The median full-time earnings for women in the state stand at $61,862.
18. Hawaii
What Women Make for Every Dollar Men Make: $0.83
Median Earnings of Female Workers: $52,164
Hawaii is an island state in the Western US, and it is the only state outside North America. Known for its stunning natural beauty and pristine beaches, Hawaii welcomes millions of tourists each year and tourism is the state’s largest industry. Women in Hawaii make 83 cents for every dollar men make, and the median earnings of female workers working full time in the state stand at $52,164.
17. Minnesota
What Women Make for Every Dollar Men Make: $0.83
Median Earnings of Female Workers: $55,984
Minnesota is a midwestern US state that is home to more than 10,000 lakes. According to recently reported data, women in Minnesota make 83 cents for every dollar men make, and the median earnings of female workers working full time in the state stand at $55,984.
16. Rhode Island
What Women Make for Every Dollar Men Make: $0.83
Median Earnings of Female Workers: $56,549
Rhode Island, in the New England region, is the smallest state in the US by size. It is also the second most densely populated state. In Rhode Island, women make 83 cents for every dollar made by their male counterparts. The median full-time earnings for women in the state stand at $56,549.
15. New Jersey
What Women Make for Every Dollar Men Make: $0.83
Median Earnings of Female Workers: $63,224
New Jersey ranks among the top 10 on our list of states with the smallest gender pay gap in 2023. Best known for its boardwalk beaches and Atlantic City casinos, New Jersey is one of the smallest states by size and the most densely populated state in the US. In New Jersey, women make 83 cents for every dollar made by their male counterparts. The median full-time earnings for women in the state stand at $63,224.
14. Maine
What Women Make for Every Dollar Men Make: $0.84
Median Earnings of Female Workers: $49,824
Maine is the easternmost state in the New England region of the US. According to recently reported data, women in Maine make 84 cents for every dollar men make, and the median earnings of female workers working full time in the state stand at $49,824.
13. Massachusetts
What Women Make for Every Dollar Men Make: $0.84
Median Earnings of Female Workers: $67,043
Massachusetts, in the New England region of the Northeastern US, ranks among the smallest states in terms of size. In Massachusetts, women make 84 cents for every dollar made by their male counterparts. The median full-time earnings for women in the state amount to $67,043. Massachusetts is the state where women have the highest median annual income.
12. Florida
What Women Make for Every Dollar Men Make: $0.85
Median Earnings of Female Workers: $45,855
Florida, in the southeastern US, is the third most populated state. It is best known for its beach resorts, amusement parks, and warm and sunny climate. Women in Florida make 85 cents for every dollar men make, and the median earnings for women working full time in this state amount to $45,855. Florida ranks among the top 12 on our list of states with the smallest gender pay gap in 2023.
11. North Carolina
What Women Make for Every Dollar Men Make: $0.85
Median Earnings of Female Workers: $47,092
North Carolina, in the southeastern US, is the 28th largest state in terms of size but ranks among the top 10 most populated states. In North Carolina, women make 85 cents for every dollar made by their male counterparts. The median full-time earnings for women in the state stand at $47,092.
10. Maryland
What Women Make for Every Dollar Men Make: $0.85
Median Earnings of Female Workers: $63,733
Maryland is a state in the Mid-Atlantic region of the US, and it ranks among the top 10 on our list of states with the smallest gender pay gap in 2023. According to recently reported data, women in Maryland make 85 cents for every dollar men make, and the median earnings of female workers working full time in the state stand at $63,733.
9. Connecticut
What Women Make for Every Dollar Men Make: $0.85
Median Earnings of Female Workers: $63,794
Connecticut ranks among the smallest and most densely populated states in the US. in terms of area. Women in Connecticut make $0.85 for every dollar men make. The median earnings for women working full time in Connecticut amount to $63,794.
8. New Mexico
What Women Make for Every Dollar Men Make: $0.86
Median Earnings of Female Workers: $45,623
New Mexico is the fifth-largest state in terms of area, but it ranks among the least densely populated states in the US. Women in New Mexico make 86 cents for every dollar men make, and the median earnings for women working full time in this state amount to $45,623.
7. Oregon
What Women Make for Every Dollar Men Make: $0.86
Median Earnings of Female Workers: $53,693
Oregon, in the Pacific Northwest region, is one of the most geographically diverse states in the US. According to recently reported data, women in Oregon make $0.86 for every dollar men make. The median earnings for women working full time in the state of Oregon amount to $53,693.
6. Alaska
What Women Make for Every Dollar Men Make: $0.86
Median Earnings of Female Workers: $57,087
While Alaska is the largest state in the US by size, it is the third-least populated state. In the non-contiguous US state of Alaska, women make 86 cents for every dollar men make. It ranks high among the states with the smallest gender pay gap. The median earnings of female workers in Alaska amount to $57,087.
Click to continue reading and see 5 States With the Smallest Gender Pay Gap in 2023.
Suggested Articles:
Disclosure: None. 20 States With the Smallest Gender Pay Gap in 2023 is published on Insider Monkey.
