Understanding the Ethnic Pay Gaps in the Netherlands

A pay gap is a metric that quantifies the disparity in average earnings between various ethnic groups within a company or across the job market during a defined period, irrespective of job title or level of seniority. This discrepancy sheds light on the unequal distribution of wages based on ethnic background, highlighting systemic issues that need to be addressed to achieve fair and equitable compensation for all individuals regardless of race or ethnicity.

This Pay Gap is very visible in the Netherlands as well, and according to statistics people with an ethnic background earn way less than their equal without an ethnic minority background.

For example:

• People with a Surinamese background earn 16% less.
• Those with an Antillean background earn 21% less.
• Those with a Turkish background earn 26% less.
• Those with a Moroccan background earn 31% less.

Why does it exist?
The ethnic pay gap is influenced by more than just education. While education is a factor, systemic discrimination, biased hiring practices, limited opportunities, and cultural biases also play roles. Addressing this gap requires a comprehensive approach that tackles these systemic inequities across various sectors of society.

For media users and influencers who conduct business through their online platforms, such statistics hold significant importance.

Consider this scenario: influencers may receive offers that exhibit significant pay gaps, which do not correspond to their performance metrics. This perpetuates inequality within the industry, where compensation fails to reflect the value and contributions of individuals, exacerbating disparities based on ethnicity. Addressing these disparities requires a collective effort from both influencers, brands and agencies to ensure fair compensation practices.

What businesses can do:

• Commit to not exploiting young professionals and ensure fair compensation.
• Reflect deeply on diversity and inclusion, avoid tokenism, and striving to improve practices, recognizing varied social and economic backgrounds.
• Address the need for economic equity by meeting reasonable demands and providing guidance, especially for individuals with migration backgrounds, regarding education and internships, with attention to labor market perspectives.

As a leader, you can guide by providing mentorship, resources, and opportunities tailored to diverse backgrounds, facilitating informed decisions and fostering inclusivity.

What users can do:

• Gain access to information to understand your worth better and avoid exploitation.
• Reject offers that undervalue your worth, asserting your market value and setting standards for fair compensation.
• Share useful information with peers and consider collective action to uplift everyone and promote fair treatment in the industry.

sources: NL Times (2019) and Law Society (2023).