Have you ever wondered about the state of pay inequality in the sales industry? The answer may surprise you. Despite progress, the gender wage gap remains a persistent issue. According to Pew Research, women earned 18% less than men in median hourly earnings in 2022. In the sales profession, the numbers are strikingly similar.
In the recently conducted #GirlsClub Wage Survey, we delved into the realities of pay disparities within the sales sector, uncovering some eye-opening statistics that demand our attention. Male sales professionals often outearn their female counterparts, with disparities persisting as they climb the corporate ladder. Racial inequalities are also evident.
However, there’s hope for change. Our survey also uncovered that negotiating for raises and investing in professional development can boost your earnings while simultaneously helping close the gap. #GirlsClub’s most recent webinar, “Close the Gap: Combatting Pay Inequality,” offers strategies to help Leaders who may not be aware they have a gap to check and close it (and it doesn’t have to break budgets). I strongly urge you all to watch the replay of this webinar to inform yourselves of actions you can take (with salary details shared by fellow #GirlsClubbers).
Even more important, please share this webinar with your sales and company leaders. Let them know it’s a cause important to you and that #GirlsClub was offering great advice for company leaders on how to check for and solve gaps if they exist. The more we educate and communicate (vs complain and blame), the more leaders we can inspire to take action. Our rally cry is to check – “You don’t know if you don’t check.”
Now, let’s take a closer look at the realities of pay inequity and how you can be part of the solution.
In the recently conducted #GirlsClub Wage Survey, we delved into the realities of pay disparities within the sales sector, uncovering some eye-opening statistics that demand our attention. We found that, on average, male sales professionals earn 11% more in annual base salary and 13% more in on-target earnings compared to their female counterparts. The gap widens even further as we ascend the corporate ladder, with male sales leaders making a staggering 23% more in average base salary and an astonishing 28% more in on-target earnings. For a woman’s OTE to be equal to her male counterpart, she has to work harder than she already does. Unbelievable. And quite frankly, unacceptable.
But the disparities don’t end there. Racial inequalities in earnings are also glaring. Caucasian salespeople outpace their Black counterparts by 37% in average base salary and 41% in on-target earnings. Even at the sales rep level, Caucasians outearn Black salespeople by 35% in base salary and 43% in on-target earnings.
These disparities are not just statistics; they represent real-life challenges faced by professionals in the sales industry. The wage gap affects recruiting efforts, company morale, and has legal implications that cannot be ignored.
However, it’s not all bleak news. There’s a silver lining for aspiring sales reps. Our survey revealed that women sales reps outearn their male counterparts by 23% in base salary and 11% in on-target earnings at this level. This shows that progress is possible, even within the early stages of a sales career.
As we look ahead to bridging the wage gap for sales professionals, it’s essential to recognize the pivotal role that sales reps play in this journey. They can be the catalysts for change, setting an example that paves the way for a more equitable future as they move up the corporate ladder.
Negotiating for a raise and investing in professional development can be powerful tools for personal growth and closing the wage gap. Our #GirlsClub Wage Survey found that those who asked for raises or promotions had a 36% success rate, emphasizing the potential for increased earnings through advocacy. Additionally, requesting professional development led to a 46.5% success rate, underlining its role in career advancement. Notably, those who took these steps earned up to three times more. It’s a win-win, benefiting individuals and contributing to the vital task of closing the wage gap.
These numbers may seem daunting, but there’s hope for change.
The webinar provides leaders committed to closing the gap with tips on how to close the gap without tripling budgets. The webinar will also give employees the tools they need to advocate for themselves – including how to ask for a raise, how to talk with their advocate about parity and what they can (and should do) if they discover an inequity within the organization.
Through simple actions such as conducting regular pay and compensation audits to pinpoint wage gaps, fostering an equitable culture through transparent hiring practices and fair compensation commitments, and collaborating with HR to stay updated on salary benchmarks we can make positive change in closing the gap.
Though there isn’t a one-size-fits-all solution, we do think #GirlsClub On Demand offers a transformative path forward. Whether you’re an experienced sales professional or an emerging leader, #GirlsClub On Demand equips you with the skills and confidence you need to thrive in your career. Moreover, by blending insights from our #GirlsClub pay equity webinar with the actionable steps in #GirlsClub On Demand, you’ll not only boost your earning potential but also contribute to narrowing the wage gap.
Did we mention that for a limited time, you can get $100 off #GirlsClub On Demand? There is no better time to invest in yourself. We look forward to having you as part of the #GirlsClub community!