It’s do or DEI time. Diversity, equality, and inclusion should by this time be considered part of everyday life. After all, we are in the age of information, where knowledge is available at the palm of our hands, yet, across many sectors and industries, the lack of conversation surrounding DEI is palpable. Misinformation and disinformation on gender rights are permeating across our society.
The struggle for basic rights was fought on the fact that anyone is capable of performing any task if given the right opportunity.
According to a report by the World Economic Forum, between 2022 and 2023, parity in the labour-force participation rate increased from 63 percent to 64 percent, yet it remained below the peak of 2009 by 5 percent.
The same applies to the manufacturing sector. Often viewed as a mainly masculine job, it is the industry’s responsibility to ensure diverse workforce participation. In the same report, women continue to be outnumbered by men in senior leadership positions across all industries, especially in fields like manufacturing (24.6 percent women), agriculture (23.3 percent), supply chain and transportation (24.0 percent), oil, gas, and mining (18.6 percent), and infrastructure (16.1 percent).
Globally, the gender gap in the manufacturing sector is a significant issue that affects the representation of women in this industry on a worldwide scale. In the United States, despite making up almost half of the total labour force, women still account for about 29.4 percent of manufacturing positions. This underrepresentation extends to the top management as well, with women holding just 26 percent of industry leadership positions. The disparity in gender representation in manufacturing is not just an issue of equity but also impacts business success. Research shows that companies with gender-diverse workforces are more likely to be profitable and have superior value creation.
Across the Atlantic, in Europe, particularly in countries like Germany, Austria, and Switzerland (DACH), the share of women in manufacturing industries is remarkably low, with only about 20 percent of German manufacturing jobs held by women. Efforts are being made to address this imbalance globally. Studies show that manufacturers can close the skills gap by 50 percent by bringing 10 percent more women into the industry. For a region known for its inclusivity, the gender gap is surprising.
The same story continues in the Indian manufacturing sector, with a significant gender gap of women being underrepresented. According to the Annual Survey of Industries (ASI), of the 8 million workers employed in India's formal manufacturing industries in 2019-20, only around 1.6 million (19.7 percent) were women. Another research study by GE and Avtar suggests that women make up only 12 percent of India's manufacturing sector, indicating a persistent gender gap.
Several factors contribute to this gender gap in the Indian manufacturing sector. Women often face barriers to entry, including limited access to education and training, as well as cultural and societal pressures that steer them away from traditionally male-dominated fields. Additionally, the nature of manufacturing jobs in India involves physical labour, long hours, and irregular shifts, which can deter women from entering the sector due to safety concerns and work-life balance challenges.
Efforts are being made by companies to attract more women into the manufacturing sector. For example, Tata Motors and MG Motor India have initiatives to increase the representation of women in their factory workforce, aiming for a more gender-balanced environment by adding more women employees. Similarly, Maruti Suzuki India Limited has introduced flexible work arrangements, dedicated transportation services, and on-site daycare facilities to help women balance their professional and personal responsibilities. Companies can take steps like providing flexible work arrangements, offering mentorship programmes and leadership training, promoting diversity and inclusion, and leveraging technology to make manufacturing jobs more attractive to women.
The government has also recognised the importance of empowering women in the workforce.
Initiatives such as the Skill India programme and the establishment of dedicated industrial training institutes for women aim to equip females with the necessary technical skills and knowledge to thrive in manufacturing roles.
Despite these positive strides, significant work remains to be done. Closing the manufacturing gender gap requires a multi-faceted approach that addresses cultural biases, provides equal access to education and training opportunities, and creates supportive and inclusive work environments.
Governments, industry associations, and educational institutions must collaborate to challenge traditional gender norms and actively promote manufacturing as a viable and rewarding career path for women. This includes investing in targeted outreach programmes, creating mentorship opportunities, and showcasing successful female role models in the industry.
Companies, too, must take a proactive stance in fostering a culture of diversity and inclusion. This involves not only implementing fair hiring and promotion practices but also offering comprehensive support systems, such as leadership development programmes, flexible work arrangements, and initiatives to combat unconscious biases.
By investing in a gender-diverse workforce, manufacturers can unlock a wealth of benefits that extend beyond the bottom line. A more inclusive and equitable workplace fosters creativity, innovation, and better decision-making, all of which are critical for navigating the complex challenges and opportunities of the modern manufacturing landscape.
(Ashok Jaipuria is Chairman and MD of Cosmo First.)