Women in the workforce: Analyzing the gains and gaps
Digest
This podcast delves into the concept of "Womenomics," a term coined by Kathy Matsui in 1999 to describe the economic potential of increasing female labor participation. It explores the significant progress made in female labor participation in Japan and other developed countries, driven by government policies, cultural changes, and family-friendly policies. The podcast also examines the impact of the COVID-19 pandemic on female labor force participation, concluding that it may have had a neutral or even positive effect. The podcast then focuses on the gender pay gap, highlighting the progress made in closing it over the past two decades, but acknowledging that the gap remains substantial in many regions. It explores the representation of women in senior leadership positions, acknowledging progress but emphasizing the continued dominance of men in leadership roles. The podcast further examines the role of women entrepreneurs in the economy, highlighting their significant contribution to job creation and innovation. However, it also discusses the challenges they face, including access to capital, customers, mentorship, and the "second shift" of unpaid labor. The podcast specifically addresses the challenges faced by black women entrepreneurs, emphasizing the importance of mentorship, access to capital, and targeted programs to support their success. The podcast concludes by exploring policy changes needed to support women entrepreneurs, including access to education and training, affordable childcare, parental leave policies, addressing legal barriers, and combating gender discrimination. It also highlights the role of the private sector in supporting women entrepreneurs, encouraging businesses to buy from women-owned businesses, invest in women-led companies, and collect gender-disaggregated data to identify and address gaps. The podcast concludes with a discussion of Goldman Sachs' initiatives to support women entrepreneurs, including the 10,000 Women and 1 Million Black Women programs, and its internal efforts to promote diversity, particularly in senior leadership positions.
Outlines
Womenomics: A Quiet Revolution and Progress in Female Labor Participation
This chapter introduces the concept of "Womenomics" and its significance in driving economic growth. It highlights Kathy Metzui's 1999 report on the Japanese economy and the subsequent progress made in female labor participation, exploring the role of government policies, cultural changes, and family-friendly policies in driving this trend.
The Pandemic's Impact on Female Labor Force Participation and The Gender Pay Gap: Progress and Challenges
This chapter examines the impact of the COVID-19 pandemic on female labor force participation, discussing the initial concerns about negative impacts on women due to childcare responsibilities and service sector job losses, but ultimately concluding that the pandemic may have had a neutral or even positive effect. It then focuses on the gender pay gap and the progress made in closing it over the past two decades, highlighting the significant reduction in the pay gap in Japan and other countries, but also acknowledging that the gap remains substantial in many regions.
Leadership: The Disappearing Women, Empowering Female Entrepreneurs, and Addressing the Challenges of Black Women Entrepreneurs
This chapter explores the representation of women in senior leadership positions, particularly at the CEO level, acknowledging the progress made in recent years, but emphasizing that men still dominate leadership roles in major corporations. It then focuses on the role of women entrepreneurs in the economy and the challenges they face, highlighting the significant contribution of women-owned businesses to job creation and innovation, but also discussing obstacles such as access to capital, customers, mentorship, and the "second shift" of unpaid labor. The chapter specifically addresses the challenges faced by black women entrepreneurs, including a higher failure rate for their businesses. It highlights the importance of mentorship, access to capital, and targeted programs to support their success.
Policy Changes for Women Entrepreneurs, The Private Sector's Role in Empowering Women Entrepreneurs, and Goldman Sachs' Initiatives for Women Entrepreneurs
This chapter explores the policy changes needed to support women entrepreneurs in the US and beyond, emphasizing the importance of access to education and training, affordable childcare, parental leave policies, addressing legal barriers, and combating gender discrimination. It then focuses on the role of the private sector in supporting women entrepreneurs, encouraging businesses to buy from women-owned businesses, invest in women-led companies, and collect gender-disaggregated data to identify and address gaps. The chapter highlights Goldman Sachs' initiatives to support women entrepreneurs, including the 10,000 Women and 1 Million Black Women programs. It emphasizes the importance of providing education, access to capital, and mentorship to help women scale their businesses.
Keywords
Womenomics
A term coined by Kathy Matsui in 1999 to describe the economic potential of increasing female labor participation. It emphasizes the importance of empowering women in the workforce to drive economic growth.
Gender Pay Gap
The difference in average earnings between men and women for similar work. It reflects the persistent inequality in pay between genders, despite progress in closing the gap in recent years.
Female Entrepreneurship
The act of women starting and running their own businesses. It plays a crucial role in job creation, innovation, and economic growth, but faces challenges such as access to capital, customers, and mentorship.
Second Shift
The unpaid labor that women often perform in addition to their paid work, such as childcare, elder care, and household chores. It contributes to the burden on women entrepreneurs and limits their ability to focus on their businesses.
Mentorship
The guidance and support provided by experienced individuals to help others develop their skills and careers. It is crucial for women entrepreneurs, particularly in developing markets, to overcome challenges and achieve success.
Gender Disaggregated Data
Data that is broken down by gender to reveal disparities and trends. It is essential for identifying and addressing the specific challenges faced by women entrepreneurs and for measuring the impact of policies and programs.
Family-Friendly Policies
Policies that support families, such as parental leave, affordable childcare, and flexible work arrangements. They are crucial for increasing female labor force participation and enabling women to balance work and family responsibilities.
STEM Degrees
Degrees in science, technology, engineering, and mathematics. While women are increasingly pursuing higher education, they are still underrepresented in STEM fields, which often offer higher salaries and career advancement opportunities.
Q&A
What are the key factors driving the increase in female labor participation in developed countries?
Government policies, cultural changes, and family-friendly policies, such as parental leave and affordable childcare, have played a significant role in increasing female labor participation.
What are the main challenges faced by women entrepreneurs?
Women entrepreneurs face challenges such as access to capital, customers, mentorship, and the "second shift" of unpaid labor. These challenges can limit their ability to scale their businesses and achieve success.
What policy changes are needed to support women entrepreneurs?
Policy changes that can support women entrepreneurs include greater access to education and training, affordable childcare, parental leave policies, addressing legal barriers, and combating gender discrimination.
What can the private sector do to empower women entrepreneurs?
The private sector can support women entrepreneurs by buying from women-owned businesses, investing in women-led companies, and collecting gender-disaggregated data to identify and address gaps.
What are Goldman Sachs' initiatives to support women entrepreneurs?
Goldman Sachs has launched initiatives such as the 10,000 Women and 1 Million Black Women programs to provide education, access to capital, and mentorship to help women entrepreneurs scale their businesses.
How is Goldman Sachs addressing diversity within its own organization?
Goldman Sachs has set aspirational goals for diversity, is tracking progress against those goals, and is being transparent about areas where it needs to improve. The firm is committed to increasing the representation of women in senior leadership positions.
Show Notes
Twenty-five years ago, Goldman Sachs research analyst Kathy Matsui wrote a report about the Japanese economy called Womenomics, stating that future potential economic growth will depend on increased female labor participation. So how much progress has been made in Japan and around the world? Sharon Bell, Senior Strategist on the European Portfolio Strategy Team within Goldman Sachs Research, and Asahi Pompey, Goldman Sachs Global Head of Corporate Engagement and President of the Goldman Sachs Foundation, discuss the gains — and gaps — in female workforce participation and the impact to economic growth.
Table of contents
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