Beyond the benefits to workplace culture, employee well-being and performance, equity and inclusion in the workplace drives economic growth. According to a 2023 Moody’s Analytics report, closing the labour force gender gap could boost global economic activity by seven trillion USD.
In Canada, between 1976 and 2015, the labour force increased by 8.8 million, 5.2 million of which were women,* and this has helped strengthen the economy we know today.
Still, despite all the evidence that when women work and get paid an equal wage, the economy grows, we have not yet reached full gender equity in professional settings.
Here are three common barriers for professional women and a look at how taking equitable steps to dismantle them will have economic advantages.
Unaffordable childcare: Lack of affordable childcare is keeping women out of the workforce. Less women in paid positions means less economic growth. Quebec has taken the lead on tackling the problem of unaffordable childcare, and its women’s employment rates show for it. A 2024 Desjardins report estimates that if the rest of Canada implemented similar subsidized childcare and caught up to Quebec’s women’s employment rate (89 per cent) by 2030, 350,000 jobs could be added, and the national GDP could increase by 1.5 per cent.
The wage gap: Women make 84 cents for every dollar a man makes, which is actually costing the government a lot more than we might think. When the wage gap closes, household incomes increase, boosting the economy and decreasing government spending on assistance, credits and benefits.
Unequal representation in leadership: Studies have shown there’s an increase in profit when more women take on leadership roles. Diversity in boards leads to a variety in management skills, solutions and decision-making, upping the chances for increased profit. Amplifying women’s workplace advancement opportunities is a key to economic growth: a Peterson Institute for International Economics study found that a shift from no female leaders to 30 per cent representation leads to a 15 per cent increase in company profit.
Equity in the workplace is not just good for women; it’s good for everyone. It’s a business case with proven economic advantages. At Axis, we’re committed to helping more professional women advance in the workplace for a more equitable and economical future.
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*International Monetary Fund 2017 Working Paper: Women are Key for Future Growth: Evidence from Canada