Over the years, the European Union has been a pioneer for gender equality. From equal pay to workplace rights, we can justifiably be proud of the progress Europe has made over the last few decades. Together, the European Commission and the European Parliament have been at the forefront of these developments and progress.
The results are visible: Today, women make up 60 per cent of university graduates in the EU. The proportion of women in work has risen steadily to 62 per cent, up from 55 per cent in 1997. Since 2000, female employees have taken up three quarters of the millions of new jobs generated in Europe.
Yet in business, women have long faced a glass ceiling which hinders them from reaching top jobs. Even today, company boards are dominated by one gender where 83.4 per cent of board members and 97 per cent of the boardroom chairs are men, while women make up only 16.6 per cent and three per cent respectively. Women occupy 2.8 per cent of board places in Malta – which is far below the EU average.
Despite a few voluntary initiatives at national and European level, the situation has not changed significantly in recent years. Tangible progress is the exception, not the rule. Progress becomes only really visible in countries where quota laws have been introduced. At this rate, it would take another 40 years to even get close to having any sense of gender balance in boardrooms – that is to say, at least 40 per cent of both genders.
It is our economies that bear the burden. Gender equality at work is not a women’s issue but a business and economic imperative. In these times of economic difficulty, when we face the joint challenges of an ageing population, falling birth rates and skills shortages, it is more important than ever to ensure that we capitalise on the richness of human talent and skills irrespective of gender.
It is for this reason that the European Commission and the European Parliament are once again spearheading efforts to speed up progress in Europe. One year ago, the Commission put a proposal for a new European 40 per cent-rule on the table. The proposal focuses on non-executive director posts in publicly listed companies in Europe, sending the right signal at the highest of corporate levels.
No woman will get a job simply because she is a woman, however, at the same time, no woman will be denied a job simply because sheis a woman
At the heart of the proposal lies a transparent selection process aiming to reach a 40 per cent representation of the under-represented sex by 2020 based on clear criteria and a comparison of the candidates’ skills and qualifications. This will not be done by forfeiting the principles of meritocracy.
The reasoning is simple: no woman will get a job simply because she is a woman, however, at the same time, no woman will be denied a job simply because she is a woman. This is a fair deal both for the business world and for women who have the same right to pursue careers as men.
Today, the European Parliament, the EU’s directly elected chamber, is expected to give its firm backing to the Commission’s proposal. This is a strong signal for gender equality in Europe where the Parliament also adamantly calls for strong rules to tackle the gender imbalance in company boardrooms.
It is thanks to the commitment of these two institutions working hand in hand that these new rules are on the way. National ministers will now need to match this ambition in the Council. It is time to show their true colours – will ministers of the Member States support the position of the members of the European Parliament, directly elected by European citizens, to help advance gender equality in Europe? Or will they drag their feet under the false pretence that gender equality should be tackled at national level? Decision-time is now.
The push for gender balance on boards is gaining steam in Europe. It is due to the firm belief in the competence and capabilities of women that this is happening. It is the belief that a mixed decision-making body provides better results for a mixed society. The glass ceiling is starting to crack.
The increase in the share of women on boards in Europe over the past year has been the highest yet recorded. It has been greatest in countries such as France, Italy and Denmark, which have recently introduced legislative measures on this matter.
These countries are the motor of change. We have got the ball rolling. More and more companies are now competing to attract the best female talent. They know that if they want to remain competitive in a globalised economy they cannot afford to disregard the skills and talent of women.
We cannot afford to be complacent any longer. Europe has been promoting gender equality since 1957 and improving the number of women on boards is only the next logical step forward. It started 50 years ago with the guaranteeing of equal pay for equal work and it continues today.
With today’s vote by the European Union’s elected representatives, we are moving yet another step closer to guaranteeing equal opportunities in decision-making positions for women and men in the business world: it’s a women’s world too!
Viviane Reding is vice-president of the European Commission and its Justice Commissioner. Marlene Mizzi is a member of the Group of the Progressive Alliance of Socialists and Democrats in the European Parliament.