Luisa Gagliardi (Bocconi University)

Abstract: We study whether the value placed by employers on working in non conventional hours contributes to explain the gender gap in career progression. We look at employees of US firms that are acquired between 2010 and 2014, and distinguish between same vs. different time zones acquisitions. The idea is that differences in time zones between the headquarter and the newly acquired firm increase the demand for and value of working around-the-clock. This higher demand, combined with persistent social norms about women’s role as caregivers, puts female employees at a disadvantage in the workplace. Our results based on Zephyr-LinkedIn matched data show that women are about 1 percentage point less likely than men to be promoted in cross-time-zone acquisitions compared with same time zone acquisitions, and relative to a baseline promotion rate of 8.4 percent. The gap rises to 1.4 and 2.5 percentage points, respectively, for managerial occupations and for time-zone differences of 2-3 hours. These results have implications for the management, evaluation and retention of human capital in organizations and, more generally, for gender equality in the workplace.