TY - JOUR AU - Baker,Michael AU - Fortin,Nicole M. TI - Does Comparable Worth Work in a Decentralized Labor Market? JF - National Bureau of Economic Research Working Paper Series VL - No. 7937 PY - 2000 Y2 - October 2000 UR - http://www.nber.org/papers/w7937 L1 - http://www.nber.org/papers/w7937.pdf N1 - Author contact info: Michael Baker Department of Economics University of Toronto 150 St. George Street Toronto, ON M5S 3G7 CANADA Tel: 416/978-4138 Fax: 416/978-6713 E-Mail: baker@chass.utoronto.ca Nicole Fortin Department of Economics University of British Columbia #997-1873 East Mall Vancouver, BC V6T 1Z1 Canada Tel: (604) 822-3222 Fax: (604) 822-5915 E-Mail: nifortin@interchange.ubc.ca AB - We investigate the effect of pro-active comparable worth legislation covering both the public and private sectors on wages, the gender wage gap and the gender composition of employment. The focus is the pay equity initiative of the Canadian province of Ontario in the early 1990s. We document substantial lapses in compliance and problems with the implementation of the law among smaller firms where the majority of men and women work. This evidence provides important lessons of the obstacles to extending pay equity to the private sector of a decentralized labor market. When we focus on those sectors of the labor market where compliance was relatively strict, our results suggest that any positive effects on the wages of women in female jobs were very modest. Our most consistently estimated effects of the law on wages are negative: slower wage growth for women in male jobs and for men in female jobs. ER -