Creating a More Inclusive and Sustainable Future
Unintended Consequences of Closing Pay Gaps Across Multiple Groups: A Formal Modeling and Simulation Analysis of Allocation Methods
Organization Science, October 2025
In recent years, many firms have prioritized both pay equity (i.e., closing pay gaps associated with target groups such as women and racial minorities) and equitable representation (i.e., ensuring these target groups are fairly represented across a firm’s hierarchy). We use formal modeling and simulations to show how efforts to close pay gaps across multiple groups can undermine equitable representation. Specifically, our analysis suggests that pressure for pay equity creates a cost-based financial incentive to enact a subtle form of tokenism: A firm may minimize the cost of closing pay gaps if it maintains a workforce with a small number of minority women whom it pays well in order to compensate for underpaying larger numbers of majority women and minority men who resemble each other in terms of job attributes and personal qualifications. A firm can avoid these outcomes if it focuses on ensuring that employees from target groups are equitably rewarded for job attributes and personal qualifications rather than minimizing cost. But an equitable-rewards approach can be substantially more expensive than a cost-minimization approach, especially if pay gaps are larger in high-wage jobs or if there are many target groups. We conclude by offering testable empirical predictions and recommending a practical solution, namely to include terms for intersectional categories (e.g., minority women) in the regressions used to estimate pay gaps.
David Anderson (Villanova University); Margret Bjarnadottir (University of Maryland);
David Ross (University of Florida)
Breaking ceilings: Debate training promotes leadership emergence by increasing assertiveness.
Journal of Applied Psychology
To date, little is known about what interventions can help individuals attain leadership roles in organizations. To address this knowledge gap, we integrate insights from the communication and leadership literatures to test debate training as a novel intervention for leadership emergence. We propose that debate training can increase individuals’ leadership emergence by fostering assertiveness—“an adaptive style of communication in which individuals express their feelings and needs directly, while maintaining respect for others” (American Psychological Association, n.d.)—a valued leadership characteristic in U.S. organizations. Experiment 1 was a three-wave longitudinal field experiment at a Fortune 100 U.S. company. Individuals (N = 471) were randomly assigned to either receive a 9-week debate training or not. Eighteen months later, the treatment-group participants were more likely to have advanced in leadership level than the control-group participants, an effect mediated by assertiveness increase. In a sample twice as large (N = 975), Experiment 2 found that individuals who were randomly assigned to receive debate training (vs. nondebate training or no training) acted more assertively and had higher leadership emergence in a subsequent group activity. Results were consistent across self-rated, group-member-rated, and coder-rated assertiveness. Moderation analyses suggest that the effects of debate training were not significantly different for (a) U.S.- and foreign-born individuals, (b) men and women, or (c) different ethnic groups. Overall, our experiments suggest that debate training can help individuals attain leadership roles by developing their assertiveness.
Jackson Lu (MIT), Michelle Zhao (Washington University in St. Louis), Hui Liao (University of Maryland, Long Jiang Endowed Chair in Business), and Lu Zhang (MIT)