We use a field experiment to show referral-based hiring has the potential to disadvantage qualified women, highlighting another potential channel behind gender disparities in the labor market. Through a recruitment drive for a firm in Malawi, we look at men's and women's referral choices under different incentives and constraints. We find that men systematically refer few women, despite being able to refer qualified women when explicitly asked for female candidates. Performance pay also did not alter men's tendencies to refer men. Additionally, women did not refer enough high quality women to offset men's behavior.
Journal of Labor Economics
November 07, 2017