7 benefits of gender diversity in the workplace

The equal representation of women at work can have positive effects across your entire organization. Here are some of the key benefits of gender diversity in the workplace.

gender diversity in the workplace - Workplace from Meta
Gender diversity in the workplace

Gender diversity in the workplace

It might feel as if women’s presence in the workplace is a given, but this isn’t the case everywhere. Despite making up 50% of the population, the global labor force participation rate for women is just under 47%, while it’s 72% for men.

So why is the gender aspect of diversity and inclusion important in the workplace and how are organizations missing out if they don’t get the gender balance right?

Read on to find out what gender diversity looks like in the workplace and to explore 7 reasons why gender diversity is good for business. And watch the video to discover more about how empowering women benefits organizations.

What is gender diversity in the workplace?

What is gender diversity in the workplace?

It’s simple. Gender diversity at work means an equal and fair representation of people of all genders — including men, women, transgender, and nonbinary individuals — within a company.

It’s about making sure that people of all genders are given equal opportunities in the workplace, at all levels.

What are the benefits of gender diversity?

What are the benefits of gender diversity?

Work can always be done to improve gender diversity in the workplace, but companies that put in the work will reap the following benefits:

1. A wider talent pool

Companies that don’t encourage women to join them are missing out on the talents and abilities of half the population. Tapping into these can make a huge difference to your productivity and your bottom line.

2. Different perspectives

Having a mix of genders in your teams means you benefit from the different points of view and approaches that come from different life experiences.

A variety of perspectives can spark creativity and innovation, and help organizations spot and seize new opportunities. It can also encourage organizations to challenge gender stereotypes.

3. Enhanced collaboration

Having women on teams can help improve team processes and boost group collaboration.

Researchers have found that women have stronger skills when it comes to reading non-verbal cues. They also found that groups with more women in them were better at taking turns in conversation, helping make the most of the group’s combined knowledge and skills.

These social skills will benefit groups when they’re collaborating on projects, both in-person and online. And it will also help when employees use business communication tools to share ideas, start conversations and collect feedback virtually.

4. Improved staff retention

Having an inclusive culture in your workplace boosts morale and opportunity. Inclusive workplaces tend to have lower employee churn rates – which represents big savings in terms of time and money spent on recruitment.

5. A better reflection of your customers

Customers come from all walks of life. The more the make-up of your organization reflects your customers the more likely it is you’ll communicate effectively with them.

That means making sure your teams have a diversity of genders, as well as backgrounds and ethnicities. Women are hugely influential when it comes to making purchasing decisions – in 2018, women globally spent about 40 trillion US dollars. That’s a lot of buying power to connect with

6. Improved recruitment and reputation

Having an inclusive workplace is a powerful recruiting tool. Female millennials look for employers with a strong record on diversity, according to research by PwC, with 85% saying it’s important to them.

A reputation as an inclusive employer will also demonstrate your positive company values and that will enhance your reputation in the recruitment marketplace.

7. Greater profitability

Time and again, evidence supports the theory that gender diversity has a positive impact on the bottom line. According to McKinsey, the most gender-diverse companies are 25% more likely to experience above-average profitability.

And a report by MSCI shows that having women on the board of a company boosts productivity.

In summary, gender diversity in the workplace is not only morally imperative but also a smart business move. By promoting equality and inclusivity, companies can benefit from a wider talent pool, different perspectives, enhanced collaboration, improved staff retention, a better reflection of their customers, improved recruitment and reputation, and greater profitability.

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