Gender Equality is a fundamental human right. It lays down a foundation for a sustainable, prosperous, and peaceful world.
What is gender equality?
Gender equality is a state where there is equal access to opportunities and resources for everyone, regardless of gender. Everyone should have equal say in economic participation, and decision-making.
What does Gender Equality look like?
A state of gender equality is observed where there is:
- Equal Pay for the same job: The pay rates should not be based on a person’s gender. Various corporate offices pay more to men as compared to women for the same position. However, the compensation should be based on performance and results.
- Equal opportunities: Women should be allowed to participate in decision-making meetings. The decision should represent both men and women. ‘Broken rung’ is a situation often observed in corporates, where women don’t get promoted to managerial positions.
- Access to training: Adequate training and career-development opportunities should be provided to both men and women.
- Companies benefit schemes should benefit all the employees. Flexible work timings should be provided to ones who need so that they don’t have to sacrifice their careers for family responsibilities.
How does gender equality affect business profitability?
Research shows that business houses practicing gender equality are better at decision-making. This results in increased profitability.
Women make a huge impact on their company. Here are the reasons:
1. Talent-pool
A gender-biased firm is missing the talents and capabilities of about half of the population. Tapping this energy can make a great impact on profitability.
2. Perspective differences
Having both men and women as employees can help to gain different perspectives on a single issue. The approaches come from different life experiences. Multiple perspectives can ignite creativity and innovations, that would ultimately result in grabbing new opportunities.
3. Enhance in collaboration:
Researchers have found that women have stronger skills in reading non-verbal cues. Groups with more women are better at taking conversations which helps in better collaboration at projects, resulting in more productivity. They also give employees access to a better communication process.
4. Staff retention
Inclusive workplace culture boosts the morale of employees. They are found to have lower churn rates that result in long-term savings.
5. Knowing your customers
Customers come from everywhere. The more diverse your staff, it will be easier to communicate. Women are highly influential in terms of making purchase decisions.
6. Better Reputation and recruitment
An inclusive workplace serves as an excellent recruiting tool.
7. High Profitability
Evidence supports that gender diversity serves the company positively. According to McKinsey, gender-diverse companies are 21% more likely to have above-average profitability. And a report by MSCI shows that having women on the board of a company boosts productivity.
How can companies close the gender gap?
Companies can close the gender gap by making equality as a strategic objective. Inclusive culture should be promoted throughout the organization.
Greater gender equality can enhance economic productivity, improve development outcomes for the next generation, and make institutions and policies more representative. Closing gender gaps benefits countries as a whole, not just women and girls.