Temporal Availability and Women Career Progression: Evidence from Cross-Time-Zone Acquisitions

Abstract

This study investigates whether an increase in the demand for nonconventional work schedules helps explain the gender gap in career advancement. We look at employees of U.S. firms acquired between 2010 and 2014 and distinguish between same and different time-zone acquisitions. The idea is that time-zone differences between the headquarters and the newly acquired firm increase the demand for and value of working outside the standard working schedule. This, combined with social norms about women’s role as caregivers, puts female employees at a disadvantage relative to men. Based on Zephyr-LinkedIn matched data, our results show that women are about 9.5% less likely than men to be promoted in cross-time-zone acquisitions than in same-time-zone acquisitions. The gap rises to 10.6% for managerial occupations, and it is higher for time-zone differences of two and three hours. We discuss the implications of our results for the management, evaluation, and retention of human capital in organizations and, more generally, for gender equality in the workplace. Funding: The authors thank the Editor and three autonomous referees for their comments on previous drafts of the paper. The authors also thank participants to the Strategy Science Virtual Conference 2020, the Strategy, Innovation and Entrepreneurship (SIE) Virtual Seminars held in December 2020, the Wharton Technology and Innovation Conference 2021, and the Work and Organization Workshop held in Madrid in May 2022. The authors acknowledge the financial support of the Invernizzi Center for Research on Innovation, Organization, Strategy and Entrepreneurship (ICRIOS) at Bocconi University. S. Breschi also acknowledges financial support through the MUSA – Multilayered Urban Sustainability Action [ECS 000037] and the GRINS – Growing Resilient, INclusive and Sustainable [PE00000018] projects, funded by the European Union – NextGenerationEU, under the National Recovery and Resilience Plan (NRRP). Supplemental Material: The online appendices are available at https://doi.org/10.1287/orsc.2023.17685 .