Relationship With Money

How does money and your relationship with money impact your life?
Relationship With Money
Women account for over 50% of the workforce, hold about half of the management positions in corporate America, and are starting businesses five times faster than the national average. Yet, even with equal pay laws, women still earn an average of 80.5% of what men earn.

The Equal Pay Act, aimed at abolishing wage disparity based on gender, was passed in 1963. Eleven years later the Supreme Court ruled, in Corning Glass Co vs. Brennan, that employers cannot justify paying women lower wages because that is what they traditionally received under the “going market rate.” A wage differential occurring “simply because men would not work at the low rates paid women” was deemed unacceptable.

The pay disparity causes some to be angry about the inequality. But when you look at some of the contributing factors more closely, you’ll find women unknowingly impact the imbalance. It’s not surprising, given women’s social conditioning around the topic of money. Even with the cultural progress we’ve made, it’s still a problem. I am aware of it because of the specialized training I received to help women with this issue, through the work I’ve done with my clients on money issues, and from discussions with others.

While legislation has played a significant role in getting women closer to equal pay, women’s own actions can help make it a reality. Whether you’re an employee or self-employed, it will take both internal and external effort to help bring pay into alignment. Steps you can take are:
• Learn about your hidden money beliefs
• Discover your actual worth
• Raise your prices
• Ask for what you’re worth
• Develop better negotiation skills
• Increase your more marketable skills
• Do what’s scary instead of what’s comfortable
• Talk to other women about money

There is a cultural shift that still needs to happen to achieve pay equality. I believe this change will only come when women step into their power and take personal action. It won’t happen overnight, but any action you take not only helps you but impacts others without you even knowing it. When you begin empowering your life around money (or any other issue for that fact), you become a role model, a seed planter, and a part of the collective solution. This impacts your daughters, granddaughters, nieces, and other women around you, as well as future generations of women.

Are you ready for action? I’d love to hear about it. Leave me a quick comment.

2 comments to Relationship With Money

  • Paul Ashton

    This is complex. Women tend to gravitate to jobs, such as teaching and nursing, which aren’t as higly paid. Many also enter, exit and re-enter the workforce after child bearing ( a most significant society function, I say). These jobs also don’t allow for much advancement, e.g. teachers get tenure or nurses stay at the job levels they started. Some suggest that women’s negotiating tactics aren’t the best. And there is discrimination, as well.

    So, the steps you outline would help a woman bring pay into alignment with work.

    The same is true for older white guys too, but that’s for another newsletter!

  • Nancy

    Thanks for your insights Paul. You’re right, it is a complex issue and there are many contributing factors. I do know older people (men and women) can have challenges too. It’s encouraging to know that there’s been a slight shift in businesses seeing the value in their older employees. Progress!