Gender Disparity in Promotions Apparent in India: Here's What Statistics Say

By: Ayushi Dutta, Correspondent

Women in India are less likely to get a promotion in comparison to their male counterparts as 1 in every 9 female employees receive a promotion. Gender disparity at workplaces affects employee development and company growth significantly.

Gender inequality has become a persistent challenge in the Indian landscape. Despite the government and some MNCs working towards shortening the gap, a majority of the working sector lags behind immensely. In the dynamic Indian corporate sector, gender disparity in promotions remains an ineradicable challenge. Studies suggest that fewer women are securing promotions as compared to their male colleagues.

The consistent surge in the growing female workforce raises questions about equity and inclusivity in professional advancement. Systemic biases, unstated biases, cultural norms, etc. majorly affect promotion rates. These stereotypes that hinder women's career progression act as a glass ceiling in their leadership positions.

This gender bias and gap in the workforce dynamic not only affects the employee's career development but also drastically affects organizational diversity, innovation, and productivity.

Only 1 in 9 Women Got Promoted in 2023

A recent study of over 600 firms across 40 sectors by Aon, a Global Professional Services firm, suggests that only 1 in 9 female employees received a promotion in 2023, compared to 1 in 6 men. In addition to this, female employees are offered less amount of promotion budget in comparison to their male colleagues. Women receive Rs. 88 of every Rs. 100 allocated by corporations towards advancement. This results in a persistent gender gap and underrepresentation of women in the workforce.

The study further suggests that this disparity implies either women professionals are finding it difficult to get high-paying job roles or they are not allocated high salaries by the companies. It has been a traditional practice to credit any achievement for the company to men in order to elevate the masculine qualities and actions that have a negative impact on women working in the same workplace. The cultural norms established also restrict women from asking out or proactively negotiating their right to pay increases and promotions.

The Middle-Management Dip

The studies have also witnessed a noticeable dropout rate at the mid-management level. In addition to this, the organizations do not make consistent efforts to close the gender pay disparity, which prevents more women from achieving positions of leadership. For women in mid to senior-level positions, they face a shortage of experience and talent challenges.

In 2023, women accounted for just 26 per cent in junior-level roles whereas 18 per cent were at middle-level positions in corporate India, only 13 per cent held senior roles, and 10 per cent represented CXOs.

It has also been registered that women face unique life stage challenges like maternity, childcare, etc., and opt for career breaks but 68 per cent of the companies lack a structured return-to-work program.

Leaders must focus on building equity in goal setting, performance rating, pay, and promotions, analyzing employee data to address these biases.

According to a study by Associate Professor Danielle Li of MIT Sloan, women often face gender biases on promotions even if their performance is better in comparison to their male counterparts, they are less likely to quit their jobs as well. Female employees, in general, have better performance ratings than males, however, their potential ratings are restricted to 8.3 per cent less than men. Compared to their male coworkers, female employees are provided a 14 per cent lower chance of being promoted.

Another report by McKinsey Women in the Workplace 2023 mentions that men are more likely to be promoted to manager-level positions making up to 60 per cent which causes gender disparity in early promotions. The decrease of female professionals in a similar category decreases in a significant manner.