Women in the workplace: Some progress, more challenges

Women are contributing more, but that effort isn't translating into recognition.

Burnout has been increasing across all industries—but the new analysis found that women report burnout at higher rates than men. (Photo: Shutterstock)

More than a year after a wave of protests put more emphasis on diversity, equity, and inclusion (DEI) efforts in the workplace, a new study finds women have made some gains. However, the report also underscores continuing problems around burnout and lack of recognition.

The DEI movement coincided with the COVID-19 pandemic, and both have underscored the issues that women, especially women of color, face in the workplace. The study, from McKinsey & Company and LeanIn.org, drew from surveys and interviews with women in 423 companies representing more than 12 million people. The authors said the data showed that despite important gains, women remain significantly underrepresented at all levels of management in corporate America, and the pandemic has added new levels of stress for working women.

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“Women are contributing more yet are often less recognized. Burnout is at an all-time high. While women have been resilient, it is a moment of reflection,” said Lareina Yee, a senior partner at McKinsey & Company. “Companies cannot afford to miss the signals of talent attrition. It’s time to invest in the leaders who have kept companies afloat throughout the challenges of the past two years.”

Broken rungs and rising levels of burnout

The report noted that women have made strides with representation in the corporate world, but that gaps remain. “There is still a ‘broken rung’ at the first step up to manager,” the report said. “Since 2016, we have seen the same trend: women are promoted to manager at far lower rates than men, and this makes it nearly impossible for companies to lay a foundation for sustained progress at more senior levels.”

And the problem is more acute for women of color: “Women of color continue to lose ground at every step in the pipeline—between the entry-level and the C-suite, the representation of women of color drops off by more than 75 percent. As a result, women of color account for only 4% of C-suite leaders, a number that hasn’t moved significantly in the past three years,” the report said.

Burnout has been increasing across all industries—but the new analysis found that women report burnout at higher rates than men. The survey found that in 2021, 42% of women said they often or almost always felt burned out, compared to 32% in 2021. For men, those numbers were 35% in 2021, and 28% in 2020.

“Women are even more burned out than they were a year ago, and the gap in burnout between women and men has almost doubled,” the report said. “In the past year, 1 in 3 women has considered leaving the workforce or downshifting their careers—a significant increase from 1 in 4 in the first few months of the pandemic.”

Increasing flexibility while setting boundaries—a new challenge

The analysis is frank about the problem of burnout—there’s no easy fix. Some steps that have helped include increasing mental health benefits, adding support for caregivers, and offering more paid leave. The authors encourage companies to be creative and listen to their workers, and to change their approach if a specific program isn’t working.

One important point raised by the study is that while increased work flexibility has been a positive development and is popular with employees, companies need to set boundaries. With remote work becoming more common, companies need to ensure that employees still find a work/life balance, the report said.

“Without clear boundaries, flexible work can quickly turn into ‘always on’ work,” the report noted. “More than a third of employees feel like they need to be available for work 24/7, and almost half believe they need to work long hours to get ahead. Employees who feel this way are much more likely to be burned out and to consider leaving their companies.”

The report suggested that companies need to do a better job of defining expectations and setting limits. For example, the researchers found that only one in three companies give workers guidance on blocking off personal time in their calendars.

Leadership should recognize progress

To address inequities, the report said, companies have to do a better job of measuring progress on DEI efforts. For example, although 87% of companies say it is critically important to support well-being and DEI, only 25% have systems to formally recognize efforts in this area.

As other studies have shown, support for women and DEI efforts needs to come from the top. The report said that a company culture dedicated to diversity is one where all employees will feel more accepted.

“Companies also need to create a culture that fully leverages the benefits of diversity—one in which women, and all employees, feel comfortable bringing their unique ideas, perspectives, and experiences to the table,” the report said. “When women are respected and their contributions are valued, they are more likely to be happy in their jobs and to feel connected to their coworkers.”