Fresh Market is a small grocery chain in New Zealand.A former employee has gone to the press and...

Question

Fresh Market is a small grocery chain in New Zealand.A former employee has gone to the press and told them that Fresh Market pays its female employees less than the male employees: particularly, female junior managers make less than male junior managers.You are consulting for Fresh Market. Senior management and the head of human resources are shocked by the accusation, since they have had non-discrimination policies in place for years. They give you the data that they believe the former employee had access to, and ask you to analyze it and uncover whether there is any validity to the former employee's claims.You decide to approach the problem in the following way:

Obtain summary statistics about salary, for men and women separately; do the men indeed earn more than the women?
- You should find that on average, the men are paid around $3,000 more than the women; this is the claim the former employee made.
- You have racial classifications as well: White, Maori, or Pacific Islander. You should obtain summary statistics broken down by race also.

Build a regression model for salary using the data given:
- Salary is measured in thousands of dollars.
- Age and Experience are measured in years.
- HighSchool, College are Y (1) if the junior manager completed High School or College respectively, N (0) otherwise.
- Race and Gender are categorical variables
- DexScoreis a measure of manual dexterity that forms part of an on-boarding test for the employees.

You should find that Gender isnotsignificant in your regression; that is, Gender is not useful for predicting salary, taking into account the other variables in the model.
- You need to reconcile these two pieces of information: men are paid more than women on average, but gender is not a significant predictor of salary.
- Hint: are men and women identical in your data, or is there some observable difference between the men and women that explains the observed difference in salary.

As always, write up your process and findings as a case report.

Be very clear in your Executive Summary about what upper management needs to know. Does it seem that Fresh Market is discriminating, or does some other factor explain the former employee's claims.

Submit your homework by 11:59pm Sunday night!https://docs.google.com/spreadsheets/d/13WiNhbEvNfb-YQOyNmpvvIzpOQ5_q2MmUMwONJVC_0E/edit?usp=sharing

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Subhanbasha · Accepted Answer

Fresh Market – Analysis
The problem statement:
	The claim which the former employee of fresh market was that there is difference in salaries for male employees and female employees. That is Fresh market is showing gender discrepancy between the employees as they female employees getting low salary comparing to the male employees.
Discussion:
	In any organization there should not be any gender or race discrepancies present. That is already will be in the policies of the organization. The salary will be based on the skills and experience which the employees had. Based on these qualities only the salary will be decided by the higher management. 
	But here the claim is that there is difference in salaries of the employees by considering the gender of the employees.
So, here we have the data about the salaries of various types of employees which is based on gender, race, study etc.,
By using this data, we can observe the statistics of the data to provide the insights and support to the claim.
Approach:
	Here we have the data as we required so by using these salaries data, we can do statistical analysis and we can infer about the claim which former employee did.
First and foremost, we do the descriptive analysis of each gender to find is there any difference in getting salaries.
Salary By gender – Analysis:
The following table is about the statics of the male employees’ salaries.
	Descriptive Statistics 
	
	
	Salary - Male
	
	
	Mean
	35.01613
	Standard Error
	0.752957
	Median
	34.65
	Mode
	39.2
	Standard Deviation
	5.92879
	Sample Variance
	35.15056
	Kurtosis
	-0.40808
	Skewness
	-0.12502
	Range
	25
	Minimum
	21.4
	Maximum
	46.4
	Sum
	2171
	Count
	62
The above is the descriptive statistics of Male employee salaries. By observing the above table averagely, the male employees receiving 35K per month. Here we have 62 male employees’ salaries based on that we got the average salary.
	The range of the male employee’s salary that is minimum salary is 21.4 K and maximum salary is 46.4 K the difference is high that is 25 K. The deviance that is difference in salaries of male employees itself is less that may be their skills and experience levels.
The statistics of the Female employees’ salaries as follows
	Descriptive Statistics 
	
	
	Salary - Female
	
	
	Mean
	31.97143
	Standard Error
	0.899323
	Median
	31.4
	Mode
	38.6
	Standard Deviation
	5.320469
	Sample Variance
	28.30739
	Kurtosis
	0.114416
	Skewness
	0.380106
	Range
	22.7
	Minimum
	22.9
	Maximum
	45.6
	Sum
	1119
	Count
	35
As observed and inferred in the male employees’ salaries in the same way we can make statements about the salaries of female employees. By observing the above table, the average salary of the female employees is 31.

Fresh Market is a small grocery chain in New Zealand.A former employee has gone to the press and told them that Fresh Market pays its female employees less than the male employees: particularly,...

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