Can you imagine a world free from bias, stereotypes, and discrimination—a world where gender equality is not just an ideal but a reality? Despite considerable progress, true gender equality remains a distant goal, influencing not only the lives of many but also the trajectory of businesses, investors, and economies. Gender equality is more than a social ideal; it’s a critical driver of business performance, investment outcomes, and economic growth.
Since the early 1900s, International Women’s Day (IWD) has been celebrated to recognize women’s achievements and advocate for greater equality. Gender equality is not just a social imperative – it is also a business and investment priority. Amid evolving discussions on DE&I policies, research consistently shows that companies with strong diversity, equity, and inclusion (DE&I) practices tend to outperform their peers – driving innovation, improving risk management, and enhancing financial returns (McKinsey, 2020; 2023; Forbes, 2020).
Our research reveals a disconnect between commitments and implementation. While 82% of companies globally have public policies on non-discrimination, only 34% disclose active programs to prevent workplace harassment or mobbing. U.S.-based companies performed slightly better than the global average, with 89% having non-discrimination policies and 39% reporting workplace safety initiatives. However, shifting regulatory landscapes – such as the divisive discourse on DE&I programs in parts of the U.S., and changing sustainability disclosure requirements in Europe – are creating uncertainty for companies navigating their commitments.
For investors, gender diversity is more than just corporate responsibility – it is a marker of long-term business resilience. Studies show that companies with diverse leadership teams not only have stronger governance but also achieve higher financial returns. Over the last decade, the business case for gender diversity has grown stronger – companies with gender-diverse leadership now have a 39% greater likelihood of financial outperformance, up from 15% in 2015 (McKinsey, 2023). With ESG factors increasingly influencing capital flows, companies that fail to demonstrate progress on DE&I may face reputational and financial risks (McKinsey, 2023).
Despite decades of progress, gender parity remains over a century away, according to the latest Global Gender Gap Report. The question is – will businesses and investors drive the change needed? On March 8th, we reflect on the progress made and the collective action required to build a more inclusive and resilient future.
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Contributor
Marie Froehlicher
Senior ESG Analyst