COVID-19 is harming girls’s labor market outcomes greater than males’s. In earlier pandemics and monetary crises, white-collar employees and male-dominated industries have been the primary to see jobs disappear. However COVID-19 has hit sooner and more durable those that are probably the most susceptible in society — these working in lower-paid roles; in sectors like retail, lodging, and tourism, which have been largely shut down by COVID lockdowns. And the labor power in these sectors is disproportionately feminine.
PwC’s new report, “Ladies in Work 2021: The impression of COVID-19 on girls in work,” reveals that from 2011 to 2019, girls in Organisation for Financial Co-operation and Growth (OECD) international locations constantly made positive factors towards financial empowerment. The important thing metrics used to measure progress are feminine labor power participation, participation fee and gender pay gaps, the share of feminine workers in full-time jobs, and the feminine unemployment fee. Some international locations, notably Iceland and Sweden, constantly lead the pack, and on this 12 months’s evaluation, New Zealand made it into third place.
However progress during the last decade has been gradual. By our calculations, if present traits proceed, it will take 24 years for ladies’s labor power participation to catch as much as males’s, 112 years to shut the gender pay hole, and 60 years for the share of feminine full-time employees to equal the present share of male employees.
At present charges of progress towards gender equality throughout the OECD, it will take 24 years for ladies’s participation within the labor power to catch as much as males’s, and 112 years to shut the gender pay hole.
These figures, beautiful as they’re, can be even worse when the total impact of the pandemic is realized. It’s well-known that COVID-19 is having a huge effect on labor markets across the globe, bringing job losses for each men and women as entire sections of the financial system have been closed.
However it’s girls who’re struggling most. In america, OECD knowledge reveals the feminine unemployment fee shot up from 4.4 % in March 2020 to 16.1 % in April. By December 2020, it had fallen to six.7 %, which was nonetheless three proportion factors greater than the earlier December. The male unemployment fee additionally elevated, however not as a lot.
In some international locations, just like the U.Ok., the pandemic’s full impression on jobs is but to be seen as authorities job-retention schemes have enabled companies to maintain employees, regardless of shocks to demand. However right here once more, extra girls’s jobs are in danger than males’s: Of the 15.3 million jobs furloughed within the U.Ok. within the third quarter of 2020, 52 % (of these for which gender was recognized) have been held by girls, despite the fact that girls solely account for 48 % of the U.Ok. workforce.
Why is that this occurring?
There are a few causes for this pattern. One is that the pandemic is disproportionately hurting sectors and job roles with extra feminine employment. Folks working in lower-paid, contact-intensive sectors — lodging and meals providers, the humanities, leisure and recreation — have been harm probably the most by the large-scale closure of companies and sections of the financial system. Globally, 40 % of all employed girls (roughly half a billion individuals), in comparison with 37 % of males, are employed in these hard-hit sectors.
The second purpose is that the pandemic is amplifying current inequalities within the quantity of unpaid care and home work that girls do world wide. Even earlier than the pandemic, girls spent on common six extra hours than males on unpaid childcare each week. Throughout COVID-19, girls have taken on a better share of an elevated burden, and now spend 7.7 extra hours per week than males, in keeping with analysis by UN Ladies. This “second shift,” including as much as 31.5 hours per week for ladies, is nearly as a lot as an additional full-time job. Within the U.S. and the U.Ok., survey knowledge present that these extra caring obligations have already decreased girls’s contribution to the financial system. And the longer this greater burden on girls lasts, the extra girls are prone to depart the labor market completely.
We estimate that as a result of pandemic, the Ladies in Work Index for the OECD will decline in 2020 and slip even additional in 2021 — setting again girls’s progress to 2017 ranges. To undo this harm and totally recuperate from the setback — even by 2030 — progress towards gender parity as measured by the index, must be double the speed it grew at between 2011 and 2019. This can be tough to attain.
Coverage responses for financial restoration have to particularly deal with the pandemic’s impression on girls. If nothing is completed to cease girls from falling additional behind than they already are, the OECD might by no means rejoin its pre-pandemic development path to gender equality.
Governments and companies have to work collectively for sooner progress towards gender equality in work. Our report outlines 4 actions that may assist obtain a sustainable and inclusive post-COVID financial restoration:
1. Actively assess the gender and equality results of all authorities insurance policies. This implies conducting equality impression assessments to make sure that insurance policies defend girls and different marginalized teams within the labor market, and to tell fairer and more practical responses to COVID-19 and future crises.
2. Empower girls to take part within the labor power by addressing underlying gender inequalities in society round unpaid care and home work. Related measures embrace recognizing the worth of the unpaid care work accomplished by girls (equal to round 10 % of world GDP every year); redistribution of this care work by equal entry and incentives to take paid parental depart for each moms and dads, reasonably priced childcare, and entry to versatile working preparations for all.
3. Take motion to cease the pandemic from widening already vital gender pay gaps. Coverage steps right here embrace mandating reporting on the gender pay hole, selling pay fairness throughout and inside industries, and devising and implementing office gender motion plans to advance extra girls into management roles.
4. Present devoted help for feminine enterprise initiatives and extra feminine employment in high-growth sectors of the financial system. This contains concentrating on and tailoring abilities growth initiatives to girls’s wants; incentivizing girls to retrain and reskill in areas reminiscent of renewable vitality, AI, and clear development; and offering monetary and broader help applications for feminine entrepreneurs and female-led startups.
- Larice Stielow is a senior economist with Technique&, PwC’s strategic consulting enterprise. Primarily based in London, she is a senior supervisor with PwC UK.
- The next individuals additionally contributed to this text and the analysis: Tara Shrestha Carney, Divya Sridha, and Oliver Forsyth, economists with the Technique& group in London.