RSFAS Seminar Series – Professor Alexandra Niessen-Ruenzi

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Speaker: Professor Alexandra Niessen-Ruenzi 

Institution: University of Mannheim

Date/Time: 11:00AM, Monday, 08 August 2022

Title: Do women need to provide more skill signals to advance their careers?

Abstract: We show that signals of higher education, professional experience, and access to professional networks are more important for women's career advancement than for men's. On average, these skill signals increase male directors' probability to become CEO by 10% and their compensation by 10.4% ($444,145). Female directors' probability to become CEO increases three times as much (30%) and their compensation increases by 21.1% ($849,500). These results are in line with models of screening discrimination, in which women need to provide more observable skill signals to make up for the fact that male employers find it more difficult to judge on their qualification. In line with this view, our results are stronger for firms with all male nomination committees.

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