A workplace without women is a workplace without excellence
the number of women working outside of the home is the lowest it's been in 34 years, a fact that should trouble all of us.
In the last year alone, millions of individuals left their jobs. Some have called it a crisis for the American economy, while others dubbed it “The Great Resignation.” Among the millions of people leaving the workforce is a staggering number of women who have exited the pandemic, prompting even more precise naming for this crisis of labor — the “shecession.” Today, 1.3 million women remain out of work. While this statistic alone is worrisome, it’s even more troubling when considering that the number of women working outside of the home is the lowest it’s been in 34 years.
Before COVID-19, women had been making steady gains within the workplace. McKinsey reports found that women in the workplace reached two all-time highs in 2019: women in senior positions hit 28%, and women in the C-suite increased to 21%. Women’s rights initiatives, like the #MeToo movement, were driving efforts to end sexual harassment and close the gender pay gap in the workplace. However, the onset of the pandemic obstructed and even reversed much of the progress made for women’s equality.
According to Oxfam International, women worldwide lost $800 billion in earnings in 2020 alone — more than the combined GDP of 98 countries.
What caused this setback?
There were various factors behind women leaving the workplace, including massive layoffs in industries like hospitality–where women account for more than half the workforce–when their services and products were no longer needed amidst lockdowns. Additionally, support systems like childcare and schools became unavailable. The lack of resources left working women to prioritize their family’s needs in many cases. A New York Times article reported that much of the caregiving fell on womens’ shoulders during the pandemic, which led to extreme burnout, increased stress, and a feeling that they could not handle everything going on.
How the workplace can bring women back
This mass exit of women affected the economy and impacted gender diversity and female perspectives in the workplace — two essential components needed in every successful organization. In fact, studies have shown that diversity in the workplace produces excellence. Businesses must take steps to bring women back into the workforce. Here are two ways an organization can make opportunities accessible to women who have been displaced, taken time away from their work, or are contemplating a career change.
Support upskilling and reskilling through tools like digital credentials.
By giving people the opportunity to upskill in a way that is oftentimes more accessible and cost-effective than traditional learning outlets, credentials have always created a win-win situation for employees and employers. And when those learning outcomes are recognized with a digital credential, employers make those skills more visible and useful than ever.
In this particular climate, upskilling and accessibility take on a different meaning. Women lost more than employment in the last year. If they know an organization is willing to help them develop new skills, hone their expertise, and become more marketable, that could be a turning point to re-engage them to join the workforce. In fact, recent studies show that ongoing learning opportunities and career growth support are no longer nice-to-haves; they are deal-breaker factors for women considering a new role. Showing support, providing opportunities, and acting as a partner are critical to making it easy for women to return to work.
Adopt skills-based hiring practices.
Gaps in candidates’ work experience have traditionally been a red flag for organizations across all industries. Many women who left the workforce will have those gaps on their resumes when they start looking to re-enter the workforce. Hiring managers can help mitigate this barrier to entry by adopting a skills-based hiring approach.
Looking at the skills they bring to the table, which can include new soft skills picked up during the pandemic, will shift the focus to the knowledge and competencies applicants possess as opposed to outdated proxies for employment readiness such as years of experience or education background. As one PwC report found that 40% of workers increased their digital skills during the pandemic, skills-based hiring is the key to filling open roles with qualified talent from diverse backgrounds.
Getting women back into the workforce should be a priority for any organization whose values align with diversity, equity, and inclusion – and for any organization interested in business drivers such as better financial performance and marketplace innovation. Companies can start today by actively creating a workplace where women are sought-after, represented, and valued.
Bailey Showalter is vice president of talent solutions at Credly, where she is focused on growth initiatives that help people connect to the right opportunity at the right time on the basis of their verified skills. Previously, Showalter led the Incubator Global Commercialization team at Indeed, where she brought new products to market from conception, validated product-market fit, and launched them to global scale. Showalter is particularly invested in helping employers find better signals for hiring and deploying talent, especially over outdated approaches that perpetuate systemic bias.