They had changed jobs only once or twice. Though all of the MBAs are well paid, the fact that such differences exist is all the more surprising because there's an expectation that an MBA degree will provide equality, said Taylor, who has a doctorate in business administration. Minorities and women have a certain level of achievement but not necessarily equal financial returns. It's a combination of things that occur around salary negotiations, he said. One is a difference in social connections and contacts with decision-makers that strengthen your bargaining position.
White males are more likely to have useful salary information.
The hiring officer, Taylor says, may also assume a woman or minority is less sophisticated about negotiating and therefore may offer less money up front. An additional subtlety is that the employer may have a preference to bring in white males and is willing to hire others only at lower pay or in lower jobs. Taylor stresses that senior leadership in the company must look very carefully at what's happening and monitor constantly for the possibility of a bias favoring majority culture members. Even though it's not always conscious, the higher salaries paid white male MBAs sound discriminatory to me. And Anne Ladky, executive director of Women Employed, a Chicago-based nonprofit advocacy organization committed to women's economic advancement, agrees.