Gender Equality and Economic Growth
Various studies have shown that closing the gender pay gap has positive effects on national and international economic performances:
- A study for the European Parliament reveals that closing the gender pay gap in the EU by one per cent would increase the GDP by 0.14 per cent. For Germany, the potential effect on GDP has been calculated at 0.1 per cent.
- The OECD calculated the effects of increased women's labour market participation. If the labour market participation rates of women were equal with the participation rates of men, the economy in the OECD could potentially growth by 12 per cent until 2030. Furthermore, more equal societies have a generally higher economic performance than unequal societies. Thus, closing gender gaps, not only in pay, has substantial positive impacts on the economy.
- Other studies by McKinsey have demonstrated substantial positive impact on the performance of companies, if consequent promotion of women and diversity are part of the companies' strategies.