Why is the integration of Moroccan women into the labour market an economic necessity?

Achieving equity for women is not only a moral or political issue linked to the need to achieve social justice through a gender perspective in contemporary societies. It is an economic necessity par excellence. Societies that achieve full integration of women in the labour market and in leadership positions achieve significant economic returns, in terms of quality and quantity, while societies that are slow to implement equality and parity lose significantly in terms of growth, wealth creation and job creation. 

A study by Catalyst, an organisation that has worked for decades with large companies to achieve parity in governance and business, found that in the Fortune 500, which promotes women's access to leadership positions, shareholders return 35% more than companies with the lowest rate of female participation in leadership positions. In other words, women bring different managerial skills and qualifications to management, enriching corporate governance with added value that translates into additional returns for shareholders.  

This does not mean that the advantages a woman brings to a leadership position are fundamental skills that she alone possesses simply because she is a woman, but because her social, economic and cultural experience in society is different and unique. This experience is forged through a long process of confronting a cultural environment marked by anticipated stereotypes and patriarchal and sexist perspectives. A challenge that gives a particular flavour to success and is reflected in unique leadership skills, significantly enriching management skills. 

Foreign Policy Analytics, (Foreign Policy's independent data analysis arm) states that ‘the top 25 male-dominated companies, led by both men and women, earn 47% more profit than the bottom 25 companies on the scale’. Moreover, companies that adopt a gender mainstreaming policy reduce negative climate impacts, significantly develop their social responsibility and create an internal culture based on inclusion, diversity and parity. These aspects benefit productivity, customer relations, human resource motivation and overall profits. 

In addition, a McKinsey Global Institute report concludes that 12 trillion dollars can be added to the global Gross Domestic Product by 2025 by improving women's inclusion and achieving gender equality, working to reduce gaps in leadership positions and salaries, among other things. Countries and companies that invest in the integration of women into the labour market, that do not enshrine gender wage gaps and that provide women with opportunities for leadership and management positions, will see a remarkable development in their Gross Domestic Product. 

GDP grows when capital goods, labour market, technology and human capital are developed. In this context, many countries, especially Arab countries, rely on capital goods (i.e. investments through fixed capital) and import technological solutions, but do not take measures to open up the labour market for women and do not develop their human capital adequately. 

Thus, we observe that the rate of women's integration in the labour market in Arab countries does not exceed 19%, compared to the global rate which reaches 47%, and the rate in low and middle income countries which is 46% (Hassan Sharri, Rebecca Mitri and Maryam Tahzouddar, 2023). This means that Arab countries will not see their economies grow in the same way as Western, Asian, African and American countries, because four-fifths of women in the Arab world do not participate in the economic cycle. 

The factors are manifold, including cultural, legislative and political aspects (absence of incentive programmes). But, in my opinion, most of the factors are economic. When women are not assigned high responsibilities in the civil service, this constitutes an injustice in promotion with a negative impact on women's salaries in the civil service. Thus, even in such institutions, which are supposed to treat men and women equally, discrimination is structural: basic salaries are equal, but men benefit more from promotions than women, thus creating inequality also in terms of pay. 

The private sector experiences greater injustice, where women are preferred over men for certain manual jobs (such as textiles, food processing, etc.), yet their wages are below the minimum wage and they are not promoted to supervisory or production manager positions. This reduces the attractiveness of the private sector (a source of employment in all free economies) in Arab countries. 

In addition, technical jobs in sectors requiring advanced engineering skills are reserved for men rather than women, as women are oriented towards the service sector, while science, mathematics and technology education is considered a man's business in many Arab countries. The presence of women in senior technical positions is low due to a shortage of supply (the number of women engineers, for example) and demand (the belief that men are better suited to complex technical tasks in the field). 

Therefore, what is required from Arab countries is to improve the attractiveness of the private sector by focusing on equal pay, respecting the minimum wage and rewarding companies that provide women with middle and senior management positions, and to invest in improving working conditions by providing specific services and facilities for women, in relation to breastfeeding or crèches in the workplace, and other special health facilities. Legislation is also needed to oblige companies, especially large ones, to publish annual reports on the reduction of the gender gap at all levels: in terms of numbers, salaries and occupation of positions of responsibility in production, middle management and top management. 

Arab countries must tap the great potential that women represent, especially at a time when education is widespread and access to university is expanding. Closing the gap that separates Arab countries from other countries will take years, but this can only be achieved with a proactive policy that includes positive discrimination, investment in the attractiveness of employer sectors and the promotion of equal pay and opportunities. 

The integration of women is an economic necessity that will contribute in the long term to approximately two additional points of economic growth in Arab countries. We must not waste this opportunity with sterile debates that have lasted too long on the role of women in Arab societies. We must free half of society from the constraints that impede their contribution to the prosperity and growth of Arab economies and protect them from the risks and causes of underdevelopment and recession. 

Article published in the LODJ media