Status of the global economic gender gap

Status of the global economic gender gap

Years of effort are needed to reduce income gender gaps across the world.

Women across the world are still earning less than men by a large amount.

The Global Gender Gap Index, which was first introduced by the World Economic Forum (WEF) in 2006, serves as a framework for capturing the magnitude of gender-based disparities and tracking their progress over time, ranking 144 countries among economic participation and opportunity, education, political empowerment, and health and survival.

Up to $12 trillion USD could be added to global GDP by 2025 by advancing women’s equality.

For the first time, the 2017 index showed a decrease in parity over the previous year for the very first time, meaning that although attention has been drawn to the matter, there is still so much to do.

Key findings inside the reports show that women are more likely than men to do unpaid work or be out of the workforce, more likely to work in industries with lower average pay, and less likely to be in high-paid senior positions, not just because women are getting paid less than their men counterparts for the same jobs.

A global status

At a global level, following data from the WEF study, in 2017, four regions have a remaining gender gap of less than 30% as Western Europe records a remaining gender gap of 25%, ahead of North America, with a gap of 28%, As for Eastern Europe and Central Asia, they have a gap of 29%, while Latin America and the Caribbean count for a gap of 29.8%.

East Asia and the Pacific region rank ahead of Sub-Saharan Africa with a 31.7% and 32.4% remaining gender gap respectively, South Asia lists a gap of 34%. The North Africa region and the Middle East cross the threshold of having a remaining gender gap of slightly less than 40% for the first time in 2017.

 A solid economy: the reward for reducing gender parity

Gender equality is a critical economic challenge, as McKinsey reports $12 trillion USD could be added to global gross domestic product (GDP) by 2025 is women’s equality is advancing correctly in social and labor conditions.

Breaking down individual information from each of the world´s regions, the Global Gender Gap Index forecasts an estimate that each spot could add to their GDP by bettering their economic gender parity:

  • United Kingdom: US$250 billion
  • United States: US$1,750 billion
  • Japan: US$550 billion
  • France: US$320 billion
  • Germany: US$310 billion
  • China: US$2.5 trillion
Occupational gaps between men and women

In a research collaboration between the World Economic Forum and Linkedin, the report finds that men are distinctively under-represented in Education and Health and Welfare, while women are strongly under-represented in Engineering, Manufacturing and Construction and Information, Communication and Technology.

Information proves men are distinctively under-represented in Education and Health and Welfare, while women are strongly under-represented in Engineering, Manufacturing and Construction and Information, Communication and Technology.