Despite diversity quotas, the gender pay gap persists
To build truly fair workplaces, managers need to avoid the pitfalls of the diversity paradox.
October 10, 2025
Recent research from IESE professor Sebastian Reiche highlights how well-meaning diversity quotas can sometimes distract from the real issue of the gender pay gap. That’s because managers often stop focusing on gender equity once they’ve hit certain benchmarks.
SOURCE: “The diversity paradox: the unintended consequences of gender diversity on gender pay equity” by Claudia Holtschlag, Carlos Morales, Aline Masuda and B. Sebastian Reiche. Human Resource Management (2025).
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