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Sexual orientation discrimination in the labor market against gay men

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Abstract

The study replicates the first European field experiment on gay men’s labor market prospects in Greece. Utilizing the same protocol as the original study in 2006–2007, two follow-up field experiments took place in 2013–2014 and 2018–2019. The study estimated that gay men experienced occupational access constraints and wage sorting in vacancies offering lower remuneration. It was found that in 2013–2014 and 2018–2019, gay men experienced increasingly biased treatment compared to 2006–2007. Moreover, the results suggested that monthly unemployment bore an association with occupational access constraints and wage sorting in vacancies offering lower remuneration for gay men. In each of the three experiments, this study captured recruiters’ attitudes toward gay men. A one standard deviation increase in taste-discrimination attitudes against gay men decreased their access to occupations by 9.6%. Furthermore, a one standard deviation increase in statistical-discrimination attitudes against gay men decreased their access to occupations by 8.1%. According to the findings, in 2013–2014 and 2018–2019, firms excluding gay applicants expressed a higher level of taste- and statistical-discrimination attitudes compared to 2006–2007. A gay rights backlash due to the LGBTIQ+ group’s attempt to advance its agenda, rising far-right rhetoric, and prejudice associated with economic downturns experienced in Greece might correspond with increasing biases against gay men. The current study contributes to the economics of sexual orientation when an economy deteriorates.

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Data availability

The data that support the findings of this study are available from the corresponding author upon reasonable request.

Code availability

The codes that support the findings of this study are available from the corresponding author upon reasonable request.

Notes

  1. Examples from the popular press include BBC News, 2 October 2013; The Guardian, 7 September 2014; The New York Times, 5 October 2015; Deutsche Welle, 2 May 2017; The EU Observer, 28 Mai 2018; TRT World, 19 April 2019; The Independent, 1 March 2019.

  2. In the 2012 parliamentary elections the party won 7% of the vote, finished third in the 2014 European elections (9.4%), and gained third place in the parliamentary elections of 2015 (6.4%). During the 2019 European elections the political party won 4.8% of the vote and during the 2019 parliamentary election lost all of its seats in the Hellenic Parliament, winning only 2.93% of the vote.

  3. Information on monthly unemployment per sector was not available.

  4. The RAG index is given by: RAG index=\(\mathop {\sum}\nolimits_{i = 1}^5 {items_i/5}\)

  5. Firms inviting both heterosexual and gay applicants for an interview: The RAG index in Experiment I vs the RAG index in Experiment II: t = −1.39 (p > 0.10); The RAG index in Experiment I vs the RAG index in Experiment III: t = −1.46 (p > 0.10); The RAG index in Experiment II vs the RAG index in Experiment III: t = −1.21 (p > 0.10).

  6. Firms inviting only heterosexual applicants for an interview: The RAG index in Experiment I vs the RAG index in Experiment II: t = −6.0 (p < 0.01); The RAG index in Experiment I vs the RAG index in Experiment III: t = −6.55 (p < 0.01); The RAG index in Experiment II vs the RAG index in Experiment III: t = 0.5 (p > 0.10).

  7. The RAG item no. 1 in Experiment I vs the RAG item no. 1 in Experiment II: t = −6.2 (p < 0.01); The RAG item no 1. in Experiment I vs the RAG item no. 1 in Experiment III: t = −5.8 (p < 0.01).

  8. The RAG item no. 4 in Experiment I vs the RAG item no. 4 in Experiment II: t = −6.4 (p < 0.01); The RAG item no. 4 in Experiment I vs the RAG item no. 4 in Experiment III: t = −6.0 (p < 0.01).

  9. Due to multicollinearity and overfitting, this study cannot include in the models, interaction effects between the RAG index and time controls.

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Acknowledgements

We appreciate the time and effort that the Editors Shoshana Grossbard and Sonia Oreffice and two anonymous reviewers dedicated to provide feedback on the manuscript. The suggestions offered by the reviewers have been immensely helpful. The data appendix, codes and software tables have been provided to the Editors during the submission process.

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Authors and Affiliations

  1. School of Economics and International Business, Centre for Pluralist Economics, Anglia Ruskin University, Cambridge, CB 1 1PT, UK

    Nick Drydakis

  2. Pembroke College, University of Cambridge, Cambridge, UK

    Nick Drydakis

  3. Centre for Science and Policy, University of Cambridge, Cambridge, UK

    Nick Drydakis

  4. Global Labor Organization, Essen, Germany

    Nick Drydakis

  5. Institute of Labor Economics, IZA, Bonn, Germany

    Nick Drydakis

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Appendix. Greece. Macroeconomic indicators, LGBTIQ+ acceptance indicators and politics

Appendix. Greece. Macroeconomic indicators, LGBTIQ+ acceptance indicators and politics

Macroeconomic indicators

LGBTIQ+ acceptance indicators

Far-right political party

Institutional policies

In 2006–2007, the unemployment rate was 8.7%, the GDP was 295.9b, the growth rate was 4.5%, the rate of people living at risk of poverty or social exclusion was 20%. (1)

  

In January 2005 the 3304/2005 Law combated discrimination on grounds of sexual orientation in the workplace. (9,10)

In 2013–2014, the unemployment rate was 26.9%,the GDP was 238.4b, the growth rate was −1.2%, the rate of people living at risk of poverty or social exclusion was 35.1%. (1)

In 2012–2014, verbal abuse and physical violence against LGBTIQ+ people increased. Organized street gangs were formed, and persecutions against LGBTIQ+ people took place across the country. (2) Between 2013 and 2019, reportages in the popular international press indicated that homophobia escalated. (3)

In the 2012 parliamentary elections a far-right political party won 7% of the vote, finished third in the 2014 European elections (9.4%), and gained third place in the parliamentary elections of 2015 (6.4%). (8)

In December 2015, the 4356/2015 Law legalized same-sex partnerships. (9,10)

In 2018–2019, the unemployment rate was 18.2%, the GDP was 213.9b, the growth rate was 1.8%, the rate of people living at risk of poverty or social exclusion was 31.8%. (1)

The 2018 annual report of the Racist Violence Recording Network revealed increased homophobic attacks, aggressiveness, and anger since 2015. (4)

During the 2019 European elections the far-right political party won 4.8% of the vote and during the 2019 parliamentary election lost all of its seats in the Hellenic Parliament, winning only 2.9% of the vote. (8)

In October 2017 the 4491/2017 Law permitted people to legally change their gender on all official documents without undergoing sterilization. (9,10)

 

The 2019 OECD report found that the country experienced a decreased acceptance of homosexuality. (5)

In October 2020, a court ruled that nearly the entire leadership of the far-right political party will be imprisoned for operating a criminal gang under the guise of being a political party. (8)

 
 

The 2019 Eurobarometer survey suggested that more homophobia existed in Greece than the EU28 average. (6)

  
 

The 2020 European Union Agency for Fundamental Rights survey indicated that the shares of EU respondents who felt discriminated against were highest in Greece. (7)

  

Notes: Resources (1): Eurostat database, World Bank database, Hellenic Statistical Authority database. (2) Sroiter, A. (2014). Autopsy: Homophobic Attacks. Athens: Alpha TV. (3) BBC News, 2 October 2013; The Guardian, 7 September 2014; The New York Times, 5 October 2015; Deutsche Welle, 2 May 2017; The EU Observer, 28 Mai 2018; TRT World, 19 April 2019; The Independent, 1 March 2019. (4) Racist Violence Recording Network (2018). Annual Report: 2018. Athens: Racist Violence Recording Network. (5) OECD (2019). Society at a Glance 2019. OECD Social Indicators. Paris: OECD. (6) Eurobarometer (2019). Special Eurobarometer 493. Discrimination in the European Union: The Social Acceptance of LGBTI People in the EU. Brussels: European Commission. (7) European Union Agency for Fundamental Rights (FRA 2020). A Long Way to Go for LGBTI Equality. Brussels: FRA. (8) The New York Times, 7 October 2020; BBC News, 7 October 2020; CNN News, 8 October 2020. (9) The Guardian, 23 December 2015. (10) The Guardian, 10 October 2017.

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Drydakis, N. Sexual orientation discrimination in the labor market against gay men. Rev Econ Household 20, 1027–1058 (2022). https://doi.org/10.1007/s11150-021-09581-8

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