Globalisation provides greater gender equality opportunities

It’s been found that there is a link between global economic interaction and the gender distribution among a company’s employees, according to a recent study.

The data, compiled by researchers Alyssa Schneebaum and Carolina Lennon from the Vienna University of Economics and Business (WU), shows that firms that export or are owned by parent companies abroad have a higher female share of full-time, permanent employees than firms that are only active in their national markets.

Professor Schneebaum, said, “What we see here is a ‘race to the top,’ meaning that global firms adopt more equal hiring practices compared to non-global firms if they interact commercially with more gender-equal economies. There seems to be no evidence of a race to the bottom, that is, gender inequality isn’t imported through commercial links with gender-unequal countries.”

However, the percentage of women only increases at the lower and middle levels of the organisation – exposure to gender equal norms has no impact on top management positions. 

Also, being internationally oriented has a negative effect on the probability of a firm having a female in top management positions with exporters 3.9 per cent less likely to have a female in charge. 

Schneebaum added, “These results are important because they show how commercial trade serves as a medium through which gender norms can be transmitted across countries. However, we do find that for more prestigious jobs, it will take more than just commercially-base exposure to norms of equality to get more women into management positions.”

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