An analysis of labor wage differentials in Nepal

With the purpose of providing empirical insight into the controversy of sex discrimination on wage, the paper analyzes the wage differentials between male and female workers in manufacturing industries of Nepal. The analysis also seeks the information about how such factors as firm ownership, firm's size, female worker's concentration and skill intensity in the industry affect wage differentials. The analysis employs three separate census years (1992, 1997 and 2002) from the census of manufacturing establishment in Nepal to facilitate building a panel set of data. A cursory analysis of averages indicated a widespread wage discrimination against female workers in Nepal. However, an in-depth analysis does not support this view to that extent. There may still exist some wage discrimination, but not always necessarily against female workers.