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Why should more women be employed?

02/03/2016
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Why should more women be employed? - In Georgia, women's economic activity is 20% lower than that of men's. Studies show that women's economic empowerment is directly linked to economic growth, business success, and increased investment in children's health and education. Unfortunately, there are no programs in Georgia that support women's economic empowerment. In collaboration with UNDP Georgia, JumpStart studied and visualized why more women should be employed in Georgia. - Women should be more actively involved in economic activities. Official data from 2013 indicates that the level of economic activity of women in Georgia is 20% lower than men. According to a recent research by Analysis and Consulting Team (ACT), nearly half of women in Georgia declare that they don’t have their own income. At the same time, only 32% of businesses have women represented in top management ranks. Women in Georgia are selling themselves short professionally. According to Georgian National Statistics Office, last six years saw a constant, unchangeable gender wage gap – women’s monthly salaries in Georgia are still approximately 318 GEL (36,4%) less than men. One of the reasons for that is a low representation of women in the top management connected with difficulties in obtaining a promotion. 52% of population believes that women cannot be as successful in business as men. Vast majority of Georgians (74%) admits also that a woman is valuated more by her performance in a household rather than at her job. It is believed when jobs are scarce priority should be given to employ men. With a national rate of unemployment reaching 15%, half of inquired respondents believe that generally, men need employment more than women and only three percent think that women need to have a job more. When women engage in economic activities it benefits everyone. An employed woman means more benefit to the family budget and less a burden for a man. According to a study by the Food and Agriculture Organization of the United Nations, when women have more power to make decisions, conditions in their communities improve, and their families are healthier and more prosperous. Having a job is the best option for a woman to feel independent – 77 % of inquired Georgians respondents, among them 85% of women think so. Women’s empowerment is an engine for economic growth in poor countries. According to the recent No Ceilings Full Participation Report, if Egyptian women were employed at the same rate as men that country’s GDP would climb by 34%. In the U.S., by the way, that figure is 5%. The same report shows that, since women prioritize things like education and health care for their children, they also build the foundations of a prosperous future. This means empowered women can generate a vast amount of wealth that people around the world would be able to spend. There are billions of women and girls with untapped purchasing power. If you want a successful future, then you need to be doing as much as you can to create it—and that means empowering women. Women should be given opportunity to perform at the high-level positions. There is a link between gender diversity at management level and performance of businesses. Researchers from Cranfield University conducted a long-term analysis of top 100 companies on the London Stock Exchange that showed vast majority of best-performing companies had women at the top management level. Another research made by Roy Adler from Pepperdine University (USA) proved the link between companies’ long and short term profitability and representation of women at the executive level. In-depth, two decades long study performed by “Fortune 500” showed that companies with high rate of promotion of women to executive positions had from 18 to 69 percent better performance than average companies from the same industry. Meanwhile, in Georgia it is believed that environmental factors assist hiring men to higher ranking positions and paying them a higher salary. In Georgian reality it is easier for men to get a job (41 percent), high paying salary (50 percent) and high ranking position (57 percent). Half of the respondents agree that a man can manage any type of organization better than a woman. Reviewing the results by gender shows that the number of men exceeds the number of women who give advantage to men – 65 percent of men think that a man is a better manager though it is worth noting that 37 percent of women also agree. Exclusion of women from executive and management level means exclusion of knowledge, experience and creativity of a half of the population. It is, by all means, a great waste of resources.

In Georgia, women's economic activity is 20% lower than that of men's. Studies show that women's economic empowerment is directly linked to economic growth, business success, and increased investment in children's health and education. Unfortunately, there are no programs in Georgia that support women's economic empowerment.

In collaboration with UNDP Georgia, JumpStart studied and visualized why more women should be employed in Georgia.

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