Research by Trulaske College of Business professors found that women and minority board members are paid less than white males, and that women and minorities are also less likely to chair or serve on top committees.
The study, “Does Diversity Pay in the Boardroom?”, was co-authored by Trulaske finance professors Matthew Souther and Adam Yore, along with Laura Field of the University of Delaware. The researchers reviewed data from more than 1,800 companies and 70,000 board members for compensation, education and professional experience.
Yore explained to Fortune.com how the research revealed a self-inflicted competitive disadvantage that many corporations may not be aware of.
“The pay gap is not huge, so we think this might be some type of subconscious effect," Yore said. “It is something that could impact a board because they could be missing a significant perspective by not having a minority or female on the board serving in a leadership role. We also found that the pay gap was larger for those who had served longer, which also is concerning as boards always want to attract and retain the best people.”