Persistence of Structural Gender Wage Inequality in the Philippines: A Regional Decomposition Analysis

Date

5-2026

Degree

Bachelor of Science in Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Jefferson A. Arapoc

Committee Member

Ma. Laarni D. Revilla, Jaimie Kim B. Arias, Maria Angeles O. Catelo

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Abstract

The persistence of the gender wage gap remains a significant labor economics issue in the Philippines, despite improvements in women’s educational attainment and labor force participation. Existing studies on the Philippine gender wage gap focus on national or sectoral estimates, leaving regional variations underexplored. This study investigates the structural gender wage gap across Philippine regions from 2003 to 2023 using Labor Force Survey data from the Philippine Statistics Authority. The study is framed on human capital theories, gendered labor market frameworks, and theories of labor discrimination, examining how human capital and other characteristics influence wage differentials between men and women.

The study uses a pooled regression analysis and the Blinder-Oaxaca decomposition method to estimate the explained and unexplained components of wage disparities. The observations include full-time pure wage earners, aged 15 to 65. Results reveal that although women generally possess higher educational attainment and, in some cases, better occupational placement, significant wage inequalities persist after controlling for observable characteristics. The estimates indicate that a large portion of the wage gap remains unexplained, suggesting the persistence of structural and discriminatory labor market conditions. The regional analyses further illustrate variations in wage dynamics, with urbanized and economically concentrated regions exhibiting wider gaps, which can be associated with occupational segregation and differentiated returns to human capital.

The findings also imply that wage comparisons may ignore underlying inequalities, as regions with low female labor force participation and high informality have lower, even reversed, gender wage gaps. As such, women in formal wage employment may be representative of a more skilled subgroup. Overall, the study highlights that gender wage disparities in the Philippines are structurally embedded with regional labor market conditions. The research contributes empirical grounding for region-specific interventions aimed at addressing labor market inequality and promoting equitable wage outcomes for women.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993.5 2026 E2 P43

Notes

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Award: Yolanda T. Garcia Best Undegraduate Thesis in Econometrics

Document Type

Thesis

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