International Women’s Day: Mexican Women Power

Every year, International Women’s Day is an opportunity to reflect on aspects related to the role, position and importance of women, whether in society, in the economy, in politics but especially in the working environment.

Mexico is a country where gender inequality is very evident in the labor market. Women make up just over 50 percent of the population. However, only 45 percent of working-age women have permanent jobs. For men, on the other hand, this figure is 78 percent. The average labor force participation rate for women is thus below the Latin American average of 50 percent. If female and male labor force participation rates were equal, Mexico’s GDP could theoretically grow by 70 percent by 2025.

And although the wage gap between men and women has narrowed over the past five years, it will still be nearly 20 percent in 2022, according to the National Social Development Policy Evaluation Council. This is partly due to the fact that women spend up to 2.6 times more time on unpaid work than men.

Now that the economy is slowly recovering from the pandemic, companies are preparing to integrate women more into the workforce and provide access to higher positions. 59 percent of companies in the country plan to work toward this goal this year, while 29 percent of organizations will work toward this goal in two years. In addition, 74 percent of Mexican companies are pursuing the goal of implementing diversity and achieving equal pay. There is a need, especially in Mexico where women often face additional burdens in society, to create an environment that supports access to key positions.

Currently, more women complete postgraduate degrees than men, a trend that should be reflected, especially in leadership positions. Women are equally more reliable regarding loan payments and decisions. One of the reasons for this is that they are more willing to seek counseling and listen carefully when making loan decisions, which is why the loans given to them tend to have a better payment record than those made to men. Breaking and changing paradigms is not easy, and companies recognize this. That’s why programs to promote gender equality and more women in leadership positions, are important to many companies. One important aspect contributing to gender equality is digitalization and the use of technologies developed during the Covid 19 pandemic. Social networks and other mass media have also paved the way for the recognition of women in the workplace and given them more visibility.

Do you have further questions about current economic developments in Mexico? Do not hesitate to contact us!