Does occupation affect pay?

In our last piece we reviewed Gross Annual Income numbers to determine the disparity in incomes between whites and blacks.  Interestingly, aside from the $156,000 or more category, the earnings levels of non-Bermudians and Bermudians were comparatively similar when looking at racial breakdowns. 

In order to get a better idea of why lets look at types of jobs by race from the 2006 Employment Survey Tabulation Set from the Bermuda Statistics department to get a better idea of why whites earn more than blacks.  Lets note that unfortunately the breakdown of Bermudian vs. non-Bermudian by race was not provided.

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Above we can note the gross annual income by race from the CURE Annual Review of the Workforce Survey Report 2006.  Of considerable mention are the high percentages of whites when compared to blacks in the upper categories.  In order to get a better idea of the causes for such disparity lets take a look at the racial breakdowns of filled jobs by major occupation.

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In the above chart we can note the dominance of blacks in the clerical, services and production/transport occupational groups.  However, as was the case for gross annual income, it is hard to gain a solid understanding of the representative numbers when the number of blacks and whites are not equal.

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We can note from the above chart how the majority of whites fill Professional/Technical and Administrative/Managerial roles while the majority of blacks fill Clerical, Services and Production/Transport roles.  It must also be noted that the above charts are not representative of only Bermudians and instead represent jobs overall in the workforce due to the unavailability of breakdowns by Bermudians status.

In order to understand how occupations translate into earnings, lets take a look at Table 20 of the 2006 Employment Survey Tabulation Set which tabulated Business Establishments with 10 or more Jobs by Annual Salary and Major Occupation Group, 2006

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Hmm, that’s a bit tough to pull meaning from as it’s a lot of numbers.  Let’s take a look at it in chart form, percentage wise to equalize the numbers across occupations and put it under the same income brackets as noted in the Gross Annual Income chart.  Again lets note that this is all jobs and not Bermudian specific.  Also note that this is not broken down by race.  Neither breakdown was available.

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Hmm, this is helpful, but not incredibly.  It shows how the bulk of jobs lie in the $24,000 to $59,999 pay bracket but unfortunately not much else.  In order to get a better picture, let’s equalize the numbers in each bracket so we can understand the breakdowns better.

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Ah, very telling.  Professional/Technical and Administration/Management jobs dominate the top 3 income brackets while Service, Clerical and Production/Transport dominate the bottom two.  So, this offers a much clearer explanation as to why it may be that whites typically earn more than blacks when considering that the majority of whites fulfill Professional/Technical and Administration/Management jobs  while the majority of blacks fill Service, Clerical and Production/Transport jobs.  The next question that arises is why whites fill the jobs they do and blacks fill the jobs they do, could it be tied to education disparities amongst the races?

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