The Global Women Principal PwC has released its ‘Women in Work Index’ research stating the progress made and emphasizing the need to make more attempts in increasing female employment rates. The research highlights the ups and downs in the Index across OCED (Organisation for Economic Co-operation and Development) countries.
Gradually, OECD maintained the legacy of trotting towards progress; this year’s Index states. It is rapidly progressing towards greater female economic empowerment. The Nordic countries Iceland, Sweden and Norway occupy the top position in the Women in Work Index in terms of gender pay gap. Some very developed countries Korea, Japan and Germany lags behind in this list; having a very high pay gap. By fully closing the gender pay gap, we could increase the female earnings by $2 trillion; an increase of 23%.
PwC ‘Women in Work Index’ report
According to OECD, the average Gender pay gap is 16% this year and the average time to close the pay gap at current rates is almost equal to a century i.e., 95 years.
UK rose to 13th position in Women Empowerment list resulting by improving Women labor and decreasing Women unemployment. By fully closing the gender pay gap in UK will boost the female earning in the country by 85 billion. Approximately, the country is likely to close its gender pay gap fully within a generation gap i.e., 24 years.
In a span of five years, Israel has shown the most significant progress whereas the very developed US disappointed with poor results.
Female Employment Rates Boost The GDP
The latest PwC report estimates high magnitude potential gains for each country from increasing Women work rates. Increasing Women employment could increase the GDP across OECD countries by nearly US $6 trillion; an almost 12% of the increase. The OCED has done specific case-study on UK. And it says that UK will have 9% increase in GDP by filling the gender work gaps.
The occupational segregation is the chief reason in the increase of pay gaps. The difference in work-life pattern racks women in lower paying sectors. The Financial service sector holds the largest pay gap of 34%. Almost 70% of the workers in health and social work are women and 60% in teaching.
To cure the occupational segregation, the companies need to make certain policies regarding the conduct of the female growth; supporting them during maternal periods. Certain measures, in general, should also be taken by framing public policies targeting female empowerment. Grants on affordable child care, shared parental leave etc should be given to narrow the gender work gap; allowing women to passionately follow their career.
The Female Economic empowerment in every way will reflect growth in the world economy. The 12% increase in GDP in OECD countries by increasing Women Employment rates to that of Sweden and filling the gender work gap will really make a vast alteration in the economy. Measures to ensure the gender pay gap healing and employment equality will be worth by all means.