Abstract Employee ratings play a pivotal role in the domain of industrial and organizational psychology. Employee ratings serve the core purposes of feedback, personnel review and promotion. However, these ratings are immensely affected by gender role stereo types. This paper analyses how the gender gap does affect performance evaluations and ultimately employee outcome within an organization. It explains how women are discriminated at time in a workplace and the implications of gender based implications on employee ratings which eventually affects promotion and increase of wages of the employees. Gender Effects on Employee Ratings Gender discrimination still tends to be one of the biggest dilemmas of our society. Gender stereotypes immensely influence decisions, evaluations and ratings in organizations and workplaces. Men and women at all level in organizations are treated differently (Agars, 2004).