TY - RPRT AU - Cieply, Isea AU - Barros, Laura AU - Silbersdorff, Alexander AU - Kneib, Thomas AU - Kis-Katos, Krisztina TI - Why Female Professors Earn Less: The Role of Retention Negotiations and Performance Bonuses PY - 2026/Feb/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 18376 UR - https://www.iza.org/index.php/publications/dp18376 AB - How large is the gender pay gap among university professors, and how do institutional pay-setting mechanisms shape this disparity? This paper provides novel empirical evidence on the gender pay gap among professors at a renowned German university. Using detailed human resources data for the time span 2013 to 2021, we document a statistically significant conditional gender pay gap in professorial salaries of 5.2%, after controlling for employment characteristics, socio-demographics, performance measures, and faculty and year fixed effects. Our findings show that these differentials can be attributed mainly to lower returns from retention negotiations, which have a particularly strong impact during the earlier stages of academic careers. These results highlight the importance of pay system designs in promoting gender equity in academia. KW - gender pay gap KW - gender economics KW - wage differentials KW - wage negotiations KW - professorial salaries ER -