There’s no doubt that the recession is hitting some sections of the labour market harder than others. Official statistics show people over the age of 50 have so far been disproportionately targeted for redundancies while at the other end of the scale the graduate labour market is also being tightly squeezed. But when it comes to the discrepancy between the sexes, the matter is more complex – particularly given the rising number of women in the workforce compared with previous downturns and the government’s focus on family-friendly legislation.
Figures from the Office for National Statistics show the number of women in full-time employment fell by 53,000 in the last quarter, compared with a drop of 36,000 for men. But this data does not paint the entire picture. The CIPD says the disproportionate effect on women has been “exaggerated”, pointing out that men account for eight out of 10 job losses between spring and late autumn last year, and the number of unemployed men increased by almost 200,000 (21 per cent), compared with 96,000 women (14 per cent).
Ministers have expressed concern that firms may target women for lay-offs in an attempt to avoid the costs associated with longer maternity leave and flexible-working rights. This has led to a campaign by Harriet Harman, minister for women and equality, for training for women to help them stay in work and more gender monitoring in the workplace. While this may seem sensible, given the inequalities that already exist (the pay gap between men and women working full time stands at 17 per cent, rising to 36 per cent for part-time workers), after a detailed analysis of the labour market in this recession, the CIPD’s chief economist John Philpott says what’s happening to the different sexes may prove favourable in the long run. For example, while full-time employment has fallen faster for men, both men and women have benefited from rising part-time employment. And part-time work has grown by much more for men than for women – 5.6 per cent compared with 0.6 per cent.
“Only with regard to part-time work have women so far done less well than men in this recession and this may well be to the benefit of longer-term equality in the labour market, if part time work becomes more balanced between men and women,” says Philpott.
Experts on family-friendly policies are uttering similar sentiments. Given that until now women were far more likely to take advantage of their entitlement to ask to work flexibly, the fact that more men are now being forced into different labour patterns may have a longer-lasting impact on attitudes towards it.
Sainsbury’s HR director Imelda Walsh conducted an independent review last year into the right to request flexible working, which has been largely responsible for the government’s decision to extend the entitlement from parents with children aged six up to aged 16 later this year. She says there is a “marked contrast” between the cost-saving measures – and alternatives to redundancies – that employers were looking at in this recession compared with any previous ones.
“[Employers] are thinking more creatively about short-time working and leave,” she says. “A lot of companies are making sure their economic obligations are met, as well as keeping their skills and people.”
While she concludes that “flexible working as a term is associated with the bountiful years that have come to an end”, she says many employers have now become more open-minded to flexibility in a broader context – largely as a result of the debate around the competing challenges facing families over the past 10 years.
“Other people do worry that the economic situation has created a more difficult climate for flexibility but we have to all simply work a little bit harder,” she says.
Duncan Fisher, a founder of think-tank the Fatherhood Institute, believes that existing legislation around paternity and maternity rights will exaggerate current discrimination against women in the labour market during the recession because of the huge gap between leave entitlement. But, he says, the fact that “employers are suddenly more interested in flexible working” as an alternative to job cuts can only be a good thing.
“It’s pretty uncharted territory,” he explains. “For the first time employers are saying we don’t want to make redundancies unless we have to, so if everyone can work fewer hours we won’t have to recruit so much when the economy bounces back. Suddenly employers have incentives for employees to work less. It has never been like that before, which creates a really interesting dynamic.”
Fisher also believe the effects “won’t be entirely reversed when the recession is over”, paving the way for better gender equality in the future. “Recessions are not nice, but for a lot of families they can create a chance for reflection about what is valuable. This is opening up a new awareness of the benefits of flexibility,” he says.
Shirley Conran, author and founder of the Work-Life Balance Trust, says that she also expected women to lose jobs faster in the recession because of the gap in maternity and paternity rights, but welcomed the more widespread use of flexi-hours currently adopted by firms.
“I have been in the position of employing and paying people and not having enough work for them. I think it’s absolutely reasonable that instead of firing people they should be given a three or four day week,” Conran says.
Looking to the future of flexible working in an upturn, Conran adds: “Once that situation is in place it will be very difficult to take it away from people.”
Act now to close gender skills gap, urges report
Urgent action must be taken to address a “gender skills gap” to help reduce workplace inequality, according to a report. The National Skills Forum has urged the government to target skills policy and training at women so they are more represented in higher paid professions, often more traditionally associated with men, such as engineering. Policy should also give more help to women re-entering the workforce after taking career breaks, says the report.
The report urges the government to extend recent extensions to maternity leave to fathers so that employers are less likely to penalise women for taking time out of work. The right to request flexible working should also be extended to all employees to prevent further discrimination, according to the report – something the CIPD has long called for.
Dame Ruth Silver, co-chair of the report, said: “We must create a climate in which women can develop real work skills; this means overcoming negative attitudes to women in science and technology.”
Work-life balance honours
Walsh, Conran and Fisher were all recently honoured as “pioneers” of the work-life balance agenda by Working Families at a ceremony at the House of Lords, as part of the charity’s thirtieth anniversary celebrations.