Gender Equality and the Indian Economy

Aniyora Shukla Tiwari

Gender parity is defined by the European Union of Gender Equality as 'The equal contribution of women and men to every dimension of life, whether private or public, when viewed through the lens of gender equality'. Every year, The World Economic Forum releases a Gender Gap Report, which ranks countries based on gender parity present in various facets of society such as industry, politics and personal life. This year, India held the 127th rank out of a pool of 146 countries, showing an eight-place improvement since the last year, but still an unfortunate score .

Sex, a trait that one cannot choose, influences every aspect of a one's life. Right from the types of clothes they are expected to wear to the kind of work-life they are supposed to have. A person's gender has never been a personal characteristic, and this fact doesn't seem liable to change in the near future. There is a direct link between society, its traditions and believes and the economy. The Japanese culture of having unwavering respect for authoritarian figures, making overtime work a norm or the low demand for meat in Hindu-dominated areas or the insane demand for Christmas trees during December in some countries all shed a light on the connect between societal norms of an area and its economy. Therefore, Demand and supply may be the driving forces of an economy, but the social beliefs of its consumers, producers and actors is one of the driving force behind the two concepts. Living in a patriarchal society such as India is more so a proof of this truth. The gender gap that exists between our borders and our minds leaves an ever-growing crack in our economy, a crack currently costing the economy an estimate of 46 lakh crores. According to the Periodic Labour Force Survey (2021-22), India’s already low female labour force participation has stagnated after seeing an increase in participation during the pandemic. The trend of sudden surge in participation is often witnessed during times of financial turmoil. A large number of women enter the workforce to better support their families and exit once their family’s financial conditions better, with India’s post economic recovery, women are retreating once again. India’s strength lies in its fast-growing population providing a large workforce. A strength which becomes redundant when 670 million women are left unemployed. A 2018 McKinsey report estimated that India could add $552bn to its gross domestic product (GDP) by just increasing its female workforce participation rate by 10 percent. An obstruction that lies between India and its continuous growth is the treatment of its female citizens . Women are stereotyped as caregivers, unsuitable for work, and their jobs are seen as inferior despite being the breadwinners in some families. Women are also guilted for having jobs by their family and friends, accusing them of neglecting their families, putting undue emotional pressure and stress on them. In many scenarios, women and men are viewed as perfect substitutes, and the idea of women bringing in new perspectives and experiences is often overlooked. Just like how every parliament aims to have a representative delegation to better understand a wider range of problems-More representation of women in positions of power and influence also works on this principle of each person knowing their struggles the best. Involvement of women in higher levels of society increases output and satisfaction by including 50 percent of the world’s population in matters that directly affect them. Gender diversification opens a whole new set of possibilities and opportunities, opening door towards proper utilisation of resources and increased efficiency . Gender parity in jobs brings with it income equality. Women are globally paid 11 per cent less than their male counterparts, bridging this gap would better equip them to support themselves and those dependent on them. Due to many social, and cultural reasons, women are over-represented in vulnerable and informal employment sectors. With the current inflation rates and ever-increasing cost of living, one can expect more and more women to take up this form of employment, hence leading to an expansion in the informal sector. A large informal sector is detrimental to the growth of the economy, it leads to inefficient utilisation of public services, reduced tax revenue, poor governance and poverty. India’s economy is driven by consumption, when women start earning, their consumption increases creating a trickle-down effect, leading to a boom in the economy. An increase in average household incomes can also help in improving health conditions and may lead to the provision of better educational opportunities thus leading to innovation and creating more jobs.

Gender gaps cost the economy about 15 per cent of its GDP, closing the existing  gender gap is essential to helping the economy grow at a sustainable rate. Women are a country’s asset, they are equal and active citizens capable of things beyond comprehension, and it's time the world realises that.

References

·        European Institute for Gender Equality. (n.d.). Gender parity. https://eige.europa.eu

·        International Labour Organization. (2023). Global Wage Report 2022–23. https://www.ilo.org

·        McKinsey Global Institute. (2018). The power of parity: Advancing women’s equality in India. https://www.mckinsey.com

·        Ministry of Statistics and Programme Implementation. (2022). Periodic Labour Force Survey (2021–22). https://mospi.gov.in

·        Oxfam India. (2023). India Discrimination Report 2023. https://www.oxfamindia.org

·        World Bank. (2022). Gender equality and economic growth. https://www.worldbank.org

·        World Economic Forum. (2024). Global Gender Gap Report 2024. https://www.weforum.org