India's journey towards gender parity in the workplace has seen some setbacks.  While the recent rise in women's labour force participation is encouraging, a closer look reveals a concerning trend.  According to the Global Gender Gap 2024 Report by World Economic Forum, India's ranking has fallen due to declines in educational attainment and political empowerment. Furthermore, the increase in participation is primarily concentrated in the informal sector, particularly self-employment within the rural primary sector.  This raises concerns about disguised unemployment and the need for a shift towards stable, salaried jobs in formal sectors.  The persistent wage gap compared to other South and Southeast Asian nations further underscores the challenges Indian women face in the formal workforce.

To explore how we can address these challenges with effective solutions, we talk with Sona Mitra, Director-Policy & Research at the Institute for What Works to Advance Gender Equality (IWWAGE). Sona brings over 15 years of experience tackling issues of gender equality and women's economic empowerment (WEE) across India and the Asia-Pacific region. Her expertise spans women's empowerment, the care economy, development economics, and strategic analysis of economic growth.  Sona actively collaborates with leading experts and organisations in gender equality, engaging in policy formulation, evidence building, and developing business cases to advance women's economic participation.  Driven by a passion for data-driven solutions, Sona is a champion for pushing boundaries in evidence-based policy and institutional development.

In conversation with Sona, we explore the complexities surrounding women's access to quality jobs in India's formal sector, the impact of the care economy, explore solutions for creating a more inclusive and equitable workplace and more.

Here are some excerpts.

How can we promote women’s access to quality jobs in formal sectors?

Empowering women to access quality jobs in formal sectors is not just a matter of fairness; it is also a critical driver of economic growth and development. Studies have consistently shown that increasing women’s participation in the workforce can significantly boost GDP and contribute to more sustainable and inclusive economic development. When women have access to quality jobs, they are better able to support their families, invest in their children’s education and health, contribute meaningfully to the communities, and drive innovation and productivity within their industries, which in turn helps to build their own agency and empowerment.

Promoting women’s access to formal sectors requires a multifaceted approach that encompasses both supply and demand sides.

On the demand side, there needs to be an increase in the availability of formal jobs for women in both traditional and non-traditional sectors. Additionally, efforts must be made to close gender wage/earning gaps and address employer or institutional biases against women in hiring practices. This can be achieved by raising awareness and framing policies that incentivise employers, organisations, and corporations to hire more women. 

On the supply side, initial strategies should include enhancing education and skill development for women, tailored specifically to the needs of the market. This can be accomplished by implementing targeted educational programmes and vocational training focused on sectors where women are traditionally underrepresented. Furthermore, a holistic legal and policy framework is essential to develop women-friendly workplaces. This includes ensuring workplaces are free of sexual harassment, providing safe public transport, and creating workplace infrastructures that accommodate women’s needs for childcare and personal hygiene. Promoting flexible work hours, work-from-anywhere models, robust social security and social protection networks, adherence to maternity entitlements, and having a comprehensive return-ship policy for women taking career breaks are also critical components.

It is also important to help women build their social capital through promoting and exposing younger women to mentorship and networking opportunities. Establishing mentorship programmes where experienced professionals can guide and support women entering the workforce can help them navigate career challenges and advance more quickly. Improving the quality of women’s employment requires tackling a wide number of underlying constraints that women face in accessing good quality jobs, including educational and occupational segregation, the burden of child and elderly care, lack in access and control of assets (which limits their ability to raise credit or to start or grow a business), among others.

What targeted policies are needed to bridge the gender wage gap in India?

The gender wage gap results from rigid occupational stereotypes or segregation by gender. This means that certain occupations are female-dominated, while others are male-dominated. Typically, male-dominated occupations are better remunerated, have higher value added, and offer greater opportunities for upward mobility. In contrast, female-dominated occupations often extend from work historically performed by women in caregiving roles, such as nurses, teachers, beauticians, tailors, nannies, and domestic helpers. These jobs are usually poorly remunerated and offer limited opportunities for advancement. This segregation leads to gender wage gaps across occupations and even within similar occupations. For instance, in factory work, women often receive lower wages than men for the same work or are hired at lower levels of the supply chain compared to men. These disparities create significant gender wage gaps, which must be addressed to achieve gender equality in labour markets.

The gender wage gap is a significant barrier to improving women’s economic outcomes.

Diluting gender-based occupational stereotyping, introducing women into new employment sectors, providing opportunities for upward mobility within occupations, and creating spaces for intersectoral mobility are essential for reducing gender wage gaps.

Additionally, mandatory pay audits and requiring companies to publish gender pay gap reports can promote greater transparency. Establishing clear and enforceable regulations that mandate equal pay for equal work is crucial for achieving this goal.

Furthermore, implementing and promoting parental leave policies that are equitable for both men and women can help balance the responsibilities of caregiving, which often disproportionately affect women’s earnings and career progression. Policies that encourage or mandate paternity leave can change societal norms around caregiving and support women in returning to work without the fear of being penalised in terms of pay or career advancement.

Initiatives that promote women in leadership positions can also help bridge the gender wage gap. Gender diversity at the top levels of organisations can influence company culture and policies to be more inclusive and equitable. Quotas or incentives for companies that demonstrate a commitment to gender diversity in leadership can be an effective measure. Through these initiatives, we can move closer to achieving gender pay equity and harness the full potential of its female workforce for economic growth and development.

How can we address the care economy and its impact on women's workforce participation?

Addressing the care economy strategically to boost women’s workforce participation requires a comprehensive approach that acknowledges both the economic and societal impacts of unpaid caregiving responsibilities. 

Firstly, unpaid care work performed predominantly by women represents a significant but often undervalued contribution to the economy. Recognising this work through mechanisms for measuring care work, creating policies for childcare support for women employees, maternity, and parental entitlements around childcare, investing and building strong childcare, elderly care and other forms of care infrastructures makes a significant difference to women’s career choices and empowers them. Holistic family leave policies ensure that women can take time off work to care for family members without facing financial insecurity or career setbacks. This not only supports women's economic stability but also encourages their continued participation in the formal workforce.

Secondly, investing in care support infrastructure and care services for women is investing in gender equality. By providing accessible and affordable childcare options or special incentives for nanny support for women employees, employers can alleviate the childcare burden on working mothers, enabling them to focus on their careers. Moreover, policies that promote shared household responsibilities, including caregiving tasks, can reduce the disproportionate impact on women's time and energy. Encouraging men to take on equal caregiving responsibilities fosters a more balanced division of labour within households and enhances women's ability to pursue career opportunities.

Promoting a cultural shift towards valuing and sharing caregiving responsibilities is pivotal.

This shift not only reduces the burden on individual women but also contributes to broader societal benefits, including increased gender equality and economic growth.

Beyond policy changes, how can we incentivise the private sector to create a more gender-inclusive work environment?

Given the various advantages associated with a gender-inclusive workforce, it is not a choice or an option but a must for organisations. However, hiring a gender-inclusive workforce is only the beginning. 

The real challenge is to support and sustain gender diversity within one’s workforce with an inclusive and equitable work environment where employees feel equal, accepted, and included without biases. Policies for promotions, incentives for employees need to be gendered at the workplaces and there must be an acknowledgement of companies successfully retaining their DEI programmes through regular awards and recognitions instituted by the government and private players in the Gender Equality domain. Private foundations, investors in addition to government entities need to institutionalise such awards and recognitions.

On the business model side, the private sector needs to be given incentives in the form of tax breaks, reduction in operating costs, special grants and so on that can play an important role in pushing the private sector to include more women in their units.

Additionally, the government set ups also need to proactively set examples of including more women in meaningful roles within the public system that can create an eye-opener/consciousness/awareness/encouragement for the private sector.

With this, mentorship and sponsorship programmes are essential for fostering the career advancement of women. Several economic evaluations have emphasised the ROI of these programmes, highlighting how investing in mentorship not only cultivates a pipeline of talented women leaders but also enhances organisational resilience and performance. Additionally, promoting the adoption of gender-sensitive workplace policies, such as flexible working arrangements and robust anti-discrimination practices, can foster a more inclusive environment.

What role can technology play in bridging the gender gap in the Indian workforce by offering online training platforms or remote work opportunities?

Technology plays a pivotal role in bridging the gender gap in the Indian workforce. Platforms for online training are instrumental in democratising access to education and skill development. By providing women with the opportunity to learn and upskill remotely, these platforms can potentially break down geographical and social barriers. They enable women to acquire qualifications and skills that are in demand in the job market, particularly in high-growth sectors like technology and finance.

Remote work opportunities represent another critical area where technology can have a substantial impact. This flexibility is especially important in India, where traditional gender roles often place a heavier burden of household and caregiving duties on women. 

Moreover, digital platforms that offer job matching and career advice tailored specifically to women can address the unique challenges they face in the job market.

These platforms can provide insights into companies with strong diversity and inclusion policies, helping women find supportive work environments. They can also offer resources for negotiating salaries and benefits, thereby addressing issues related to the gender pay gap. However, there is a pressing need to make tech more inclusive and needs to begin by making accessibility and affordability of technology simpler for women.