With this year’s International Women’s Day drawing close, disappointing statistics have
revealed that the UK is falling behind many European countries when it comes to gender equality in the workplace.
The country’s ranking has dropped to its lowest in the past decade, and progress on closing the gender pay gap is moving at a “sluggish pace” compared to other countries, all while its maternity leave policies struggle to match those that offer generous support for working parents.
So why is the UK still playing catch up whilst our European counterparts are making progress?
The UK ranks lowest for gender equality in the workplace
According to the Women In Work Index by advisory firm PwC, the UK has fallen to 18th place for gender equality in the workplace – the lowest ranking in over a decade. It also reported that its current gender pay gap is at 13.5%.
Meanwhile, Iceland was reported to have the best gender equality, followed by New Zealand and Luxembourg. Iceland’s female participation rate was reported to be at 83.7% across the Organisation for Economic Co-operation and Development (OECD). The PwC report cites the country’s generous parental leave policies as the likely reason, which offers six months of paid leave after the birth of a child.
“The UK is improving its gender pay disparity, but at a slower pace than other countries,” Alia Qamar, an economist at PwC said. “The sluggish progress compared to peers means the UK’s performance is consistently only just ahead of the OECD average, whereas other similar countries such as Ireland and Canada have shown impressive improvements in the post-pandemic era.”
Female employees have greater career growth in European countries
The UK’s decline in gender equality could be attributed to female employees finding better career growth opportunities in other European countries.
Research from digital PR agency Reboot Online also revealed that Lithuania had the highest number of female CEOs, indicating a strong push for gender equality in leadership. As for its maternity leave policy, it offers just over 52 weeks of time off at full pay. While the UK offers up to the same amount of weeks, employees will get 90% of their average weekly earnings (before tax) for just the first six weeks.
With countries like Lithuania offering better support in place, working parents are less likely to face the motherhood penalty – something that has reportedly worsened in the UK over the last 40 years.
Naomi Aharony, CEO and co-founder of Reboot Online commented: “The overall results suggest that there has been some progress with gender equality in the workplace, particularly with the number of women in CEO, President and Executive positions,”
However, Aharony added that women “still face numerous challenges when it comes to gender equality in the workplace” and that in light of this year’s International Women’s Day, there are still “hurdles we need to jump to tackle the wage gap, lack of leadership representation, government incentives and work-life balance.”
RTO mandates by male-led businesses could contribute to gender inequality
Over the last year, the number of companies enforcing RTO policies has increased significantly, particularly among male-led businesses pushing for a stronger in-office presence.
With many women relying on flexible work arrangements, such as better work-life balance, mental health needs and balancing career and caregiving responsibilities, rigid RTO mandates could limit their ability to manage these needs.
Additionally, the shift back to traditional in-office work is especially concerning as more companies begin to tie promotions and bonus schemes to office attendance, which puts women at a disadvantage if they can’t be in the office as often as their male colleagues.
Sheila Flavell, Chief Operating Officer (COO) at FDM Group, commented: “Fair pay, workplace training and progression opportunities for women should be a given in the modern workplace, and organisations must prioritise actions in these areas,”
“As areas such as data and analytics continue to become integral in business operations, women should be front and centre of innovation, supporting UK growth, rather than being held back by a lack of progress and a stubborn gender pay gap.”
