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Addressing the Gender Pay Gap in Tech: Insights & Trends

by Carlos A. Vázquez    |    January 8, 2025    |      5 min read

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Illustration of a woman on a shorter stack of coins beside a man on a taller stack, highlighting the gender pay gap. Set against a world map with digital elements, this image emphasizes trends in tech. Text reads: "Insights & Trends: Addressing the Gender Pay Gap in Tech. CodersLink 2024.

The gender pay gap is a persistent issue across many industries, and the tech sector is no exception. Despite ongoing efforts to close the gap, disparities remain, affecting both women’s career progression and financial well-being. In 2025, the gender pay gap still poses challenges, but growing awareness and advocacy for pay equity are pushing for meaningful change.

Understanding the Gender Pay Gap in Tech

In the United States, women working in the tech industry earn approximately 84 cents for every dollar earned by their male counterparts, according to recent Census Bureau data. This translates to an annual loss of almost $10,000 in median earnings. Although the gap has narrowed over time, the progress has been slow, with some sources even reporting a widening of the gap for certain groups, such as Black and Hispanic women in 2023. Similarly, women in STEM fields (Science, Technology, Engineering, and Mathematics) face a significant wage disparity, with female software engineers earning less on average than men in the same roles.

Mexico has made strides to address the gender wage gap, but the tech sector still sees substantial inequalities. The 2024 Mexico Tech Salaries Report highlights that although women are increasingly entering tech fields, there is still a significant 15-20% gap between male and female tech professionals, depending on their role and seniority.

Why Does the Pay Gap Persist in Tech?

The persistence of the gender pay gap in tech can be attributed to several factors:

Occupational Segregation: Women are often underrepresented in higher-paying specialized roles, such as backend development or machine learning. Even when women occupy technical roles, they are more likely to be concentrated in lower-paying specialties.

Experience and Seniority: In many cases, women in tech have less access to leadership roles and higher-paying positions. Men are still more likely to hold senior or executive-level positions, where salaries are considerably higher.

Bias in Hiring and Promotions: Despite similar qualifications and experience, studies show that women are less likely to receive raises or promotions compared to men. Biases during hiring, performance reviews, and promotion decisions contribute to the gender wage gap.

The Role of Pay Transparency and Equity

One of the most effective strategies to address the gender pay gap is pay transparency. In companies that have adopted clear salary bands and pay transparency policies, the pay gap tends to shrink. According to a report by the U.S. Department of Labor, transparency around pay helps ensure that both men and women are compensated equitably for the same work, and it prevents discrimination from persisting unnoticed.

In Mexico, legislation promoting salary transparency is slowly gaining ground, but it is not yet as widespread as in the U.S. or Europe. CodersLink’s 2024 report indicates that increased transparency in compensation practices will be key to narrowing the gender gap in Mexico’s tech sector.

Companies Leading the Way

Many large tech companies are taking the lead in promoting gender equality in their workforce. Companies like Google and Microsoft have reported steady improvements in female representation in tech roles, with both now boasting over 30% women in technical positions. Google, for instance, increased female tech representation from 20.8% in 2018 to 25.3% in 2023.

These companies also offer flexible work arrangements, equitable parental leave, and pay equity audits—tools that help uncover and correct gender disparities within their organizations. The adoption of similar practices in Mexico could help close the pay gap.

Bridging the Gap: What More Needs to Be Done?

Closing the gender pay gap in tech is a long-term challenge that requires both systemic changes and concerted efforts from businesses, governments, and individuals. Some key strategies include:

Promoting Women into Leadership: Women in tech are still significantly underrepresented in senior leadership roles. By actively promoting women and providing mentorship opportunities, companies can ensure that female professionals have the chance to advance and earn competitive salaries.

Equal Pay Audits: Regular pay audits can help identify pay disparities and implement corrective measures. Companies that publish their findings and commit to closing any gaps are more likely to foster a fair work environment.

Flexibility and Support for Work-Life Balance: Offering remote work, flexible hours, and parental leave options can help women stay in the workforce, especially during critical career periods. The COVID-19 pandemic accelerated the shift to remote work, and maintaining this flexibility is key to retaining female talent in the tech sector.

A Path Toward Equity

While the gender pay gap remains a challenge, efforts to increase representation, ensure fair pay, and promote women into leadership roles will continue to shape the future of the tech industry. By adopting transparent practices and fostering an inclusive culture, companies can help ensure that women in tech are compensated fairly for their contributions. As the industry grows and evolves, the push for gender parity in pay and representation must remain a priority.

In both the U.S. and Mexico, continued efforts to address biases, enforce transparency, and empower women in tech will be crucial to reducing the gap and creating a more equitable industry.

Are you interested in taking action? At CodersLink, we help companies create inclusive hiring practices and connect them with top tech talent in Latin America. Join us in building a more diverse and equitable tech industry.

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