The 2012 World Bank World Development Report on Gender Equality and Development, released today, observes that while over half a billion women have joined the global labour market in the last 30 years, “gender gaps in earnings remain stubbornly unchanged in much of the world.” This is one of four chief areas for policy action identified by the WDR, along with giving women greater voice in households and societies, limiting the perpetuation of gender inequality, and addressing “human capital issues” such as excess deaths of girls and women and gender gaps in education. The WDR continues the World Bank approach to gender equality as “smart economics”, but repeatedly asserts that is also the “right” thing to do.
In the chapter examining “Gender differences in employment and why they matter”, the authors argue that the gender pay gap is largely attributable to gender segregated labour markets, which are a result of gender differences in time use, in access to assets and credit, and in treatment by markets and formal institutions (including legislation). Relatively little attention is given to the problem of direct discrimination against women in hiring; the authors argue there is a lack of data relevant to developing countries and that segregated labour markets may be largely explained by other factors. As a tool for policymakers, it is positive that the WDR recognizes that economic growth alone will not change patterns of gender segregation in economic activity.
Similarly, the WDR notes that patterns of women’s “voice” in societies and households do not change much as countries get richer. The authors emphasize the importance of increasing women’s representation in all manner of fora, explicitly including trade unions.
Chapter 6 discusses globalization, with an upbeat attitude about the potential of trade openness and information technologies to promote gender equality by connecting women to markets, adjusting social norms, and increasing international scrutiny of gender discrimination. However, the WDR does recognize that greater economic integration has had some negative impact on workers, noting that global labour market shifts have translated into greater wage inequality in the United States and greater unemployment among “unskilled” workers in Europe. The authors note, but largely dismiss, concerns that trade liberalization may lead to low wages and low working conditions, arguing that in many cases it has led to higher wages and increased scrutiny of working conditions. The Report does admit that important challenges remain for informal workers, and recommends a combination of strategies to address these including social clauses in trade agreements, corporate codes of conduct, and “the ILO’s ‘decent work’ approach”.
You can access the press release, report overview (4pages), report overview (45 pages) in multiple languages, as well as the full report (all 452pgs, English only) here: http://go.worldbank.org/CQCTMSFI40
Francesca Ricciardone
ITUC/Global Unions – Washington Office
888 16th Street NW, Ste. 400
Washington, DC 20006