First, although the formalization of informal jobs is itself a positive step, the effect may be initially to widen the gender pay gap as there may be an increase in the share of women in low-paid formal sector jobs. Second, women's material position is not improved if the gap is closed either because men’s pay has declined or if real wages are falling for both men and women. Figure i shows that, in the United Kingdom, although the gender pay gap narrowed after the financial crisis, real wages were falling for both women and men.