What women want: Close that gender pay gap in the workforce

We keep hearing about how many more women have joined the workforce. But how are women faring in the workplace this International Women’s Day? What do they seek as they juggle the multiple roles of their lives alongside work, for which they’re glorified no end.

According to a The Office Pass 2024 survey, the women workforce demands an inclusive environment, which means flexibility to work in a hybrid mode, provision of amenities related to daily needs, presence in a neighbourhood location, regular training and mentorship, opportunity to grow, and an equal pay model. The survey discovered that there has been a surge in women’s participation in the workforce after the COVID-19 pandemic.

Active women participation in the workplace is critical for the success of any organization. Little work has been done in this direction

Aditya Verma, Founder and CEO, The Office Pass

Aditya Verma, Founder and CEO, The Office Pass, said, “Active women participation in the workplace is critical for the success of any organization. Little work has been done in this direction”.

Chetana C., Director at Quantum Energy, says, “Investing in women in India is not just a matter of gender equality; it’s a strategic imperative for economic growth and societal development. Women comprise nearly half of India’s population, yet they face significant barriers to full participation in the economy. By investing in women’s education, healthcare, and economic opportunities, India can unlock immense potential for growth.

When women are empowered, they contribute to higher household incomes, improved child health and education outcomes, and increased productivity across all sectors. Moreover, investing in women’s entrepreneurship and leadership can drive innovation and competitiveness in the economy

Chetana C., Director at Quantum Energy

“When women are empowered, they contribute to higher household incomes, improved child health and education outcomes, and increased productivity across all sectors. Moreover, investing in women’s entrepreneurship and leadership can drive innovation and competitiveness in the economy.”

Aditi Balbir, Cofounder, EcoRatings, says “The first challenge to address is the issue of gender inclusion, particularly in the corporate sector, where the current landscape remains disheartening.

Another critical concern is the glaring gender pay gap, especially in leadership roles and CXO positions, where women receive 50% less compensation than their male counterparts. To address these challenges, a concerted effort is required to increase the representation of women in the corporate sector and ensure gender inclusivity

Aditi Balbir, Cofounder, EcoRatings

In India, women account for only 22% of the workforce, lagging behind China at 40% and the United States at 47%. Furthermore, women hold a mere 11% of leadership positions in India, in stark contrast to 21% in China and 30% in the United States. The disparity is even more pronounced in the IT sector, where women face severe underrepresentation. In technology and finance, their presence in the workforce is limited to 15% and 25%, respectively.

“Another critical concern is the glaring gender pay gap, especially in leadership roles and CXO positions, where women receive 50% less compensation than their male counterparts. To address these challenges, a concerted effort is required to increase the representation of women in the corporate sector and ensure gender inclusivity,” she adds.

Organizational Initiatives

Some companies are taking bold steps in this direction, such as Accenture, which has set a mandate to achieve a 50% gender ratio by the end of the current year. Recently, DroneAcharya Aerial Innovations Limited, in collaboration with ITC, successfully completed the inaugural All Women’s Namo Drone Didi Batch. The partnership sponsored a drone pilot training for women from Self Help Groups across Maharashtra.

The 5-day intensive program has equipped participants with a 10-year license to legally operate drones in India. The comprehensive curriculum covered essential topics including drone fundamentals, DGCA regulations, failsafe mechanisms, and emergency protocols. Practical sessions, including simulator training and on-ground drone flying, ensured participants developed the necessary skills for safe and efficient drone operation.

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The All Women’s Namo Drone Didi Batch was designed by women and for women, with an experienced DGCA certified Drone Instructor leading the training.

Organizations that have adopted a hybrid or fully remote operating model achieved success in terms of organizational health and operational efficiency. Moreover, the survey findings indicate that inclusion within corporate environments entails the ability of employees to align themselves with the core principles of the organization and connect with their colleagues. It also encompasses the perception that everyone has an equitable opportunity for advancement and a sense of security in voicing their opinions, suggestions, and work-related concerns.

“Additionally, policies like the requirement for one woman director on every board contribute to creating a more equitable environment. However, further comprehensive measures and initiatives are needed to bridge the gender gap and promote a more inclusive and diverse corporate culture. Companies should prioritize implementing strategies that not only increase the overall representation of women in the workforce but also actively promote their advancement to leadership positions,” Balbir says.

What Women Seek When They Search Jobs

As per a report by DBS Bank, India, in collaboration with CRISIL, while salary and career advancement ranked as the topmost factors when selecting a job for 69% of salaried women, 42% of self-employed women prioritised independence and flexible working hours. Interestingly, remote working is not a high priority among salaried women, with only 3% considering it essential.

Encouraging the active participation of women in the workforce is crucial for fostering their economic independence and ensuring autonomy in financial decision-making

Kishore Poduri, Managing Director, and Country Head – HR, DBS Bank India

Kishore Poduri, Managing Director, and Country Head – HR, DBS Bank India, said, “Encouraging the active participation of women in the workforce is crucial for fostering their economic independence and ensuring autonomy in financial decision-making.”

Challenges for Salaried Women in the Workforce

The perceived gender pay gap at a pan-India level stood at 23% among salaried women, while perceived gender bias stood at 16%. Semi-affluent women, earning between INR10-25 lakhs annually, and affluent women, with salaries ranging from INR41-55 lakhs per year, have varying perspectives on the gender pay gap.

Affluent women reported a higher perception of the gender pay gap at 30%, while this stood at 18% among semi-affluent women. A similar trend was seen with the perception of gender bias at the workplace with 30% of affluent women asserting that they had experienced it, significantly higher than the 12% of women in the semi-affluent cohort who had perceived the same bias.

42% of salaried women in metros face challenges while negotiating salaries. The experiences differ between the eastern and western parts of India. In Kolkata, 96% of salaried women do not face a challenge in negotiating their pay, while only 33% in Ahmedabad feel the same. Contrasting perspectives are also observed in southern India. In Chennai, 77% of women do not face challenges when negotiating salaries, compared to 41% in Hyderabad.

Policies & Initiatives Preferred by Salaried Women

Among salaried women, those who are unmarried show a greater appreciation for mentorship and career development opportunities compared to their married counterparts. Specifically, 26% of unmarried women express appreciation for such programs, compared to 16% of married women.

Regional variations lend greater depth to the insights. For instance, in Kolkata, 46% of salaried women consider mentorship and career development programs to be the most valuable, surpassing the national average of 19%.

Similarly, in Delhi, 33% of salaried women value childcare support facilities offered by organisations, compared to the national average of 11%. Among women in Chennai, 32% accord the most importance to extended maternity benefits, surpassing the national average of 19%.

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Organizations need to implement family-friendly policies that improve work-life harmony for women with caregiving responsibilities. In Pune, 35% of salaried women consider sabbatical policies to be the most valuable, significantly higher than the national average of 5%.

Some organizations are putting in the effort. Equinix, a global data center and colocation provider for enterprise network and cloud computing, has championed the empowerment of women through WomenConnect, which provides mentorship and support, ensuring every woman can excel within the organization.

Specifically in India, it launched the Women Returnee Program to assist women on career breaks in rejoining the workforce to resume their professional journey. Through this pilot program, participants receive training and mentorship to equip them for the industry re-entry, fostering skills and confidence essential for success.

This International Women’s Day, we celebrate the achievements of women who have overcome obstacles and shattered stereotypes. Our proactive efforts to address gender bias and inequality have led to a notable increase in gender representation in recent years

Hwa Choo Lim, VP, Human Resources, Asia Pacific, Equinix

Hwa Choo Lim, VP, Human Resources, Asia Pacific, Equinix, says, “This International Women’s Day, we celebrate the achievements of women who have overcome obstacles and shattered stereotypes. Our proactive efforts to address gender bias and inequality have led to a notable increase in gender representation in recent years.”

The company established 9 Employee Engagement and Collaboration Networks (EECNs) and 35 WeAreEquinix teams to foster a diverse and inclusive culture. These endeavors yielded tangible results, with a significant 13% year-over-year increase in its global female workforce as reported in its 2023 earnings.