Women's quota on boards of directors cracks 20 percent mark
Gender diversity in Swiss companies is picking up speed. The proportion of women is rising both on the boards of directors and on the executive boards of the 100 largest employers.
The proportion of women on the Board of Directors breaks the 20 % mark for the first time, rising from 19 % to 21 %. 38 % (2018 25 %) of vacant seats were filled by a woman - a peak value that is nevertheless not enough if 30 % is to be achieved by 2022. These two concise results are shown in the schillingreport 2019 of the headhunting service provider Guido Schilling AG. In addition, the 2019 report shows other aspects of the composition of the top management bodies of business and public administration.
Only just under half of companies with women on the management board
After declining to 7 % in 2018, the share of women on executive boards rises to 9 %. Companies appointed women to 18 % (2018 8 %) of open executive board positions. Only 49 % (2018 41 %) of companies have women on their executive boards. "As before, a balanced gender mix on executive boards remains a generational project. We cannot pay enough attention to this topic in times of a shortage of skilled workers and flattening migration," says editor Guido Schilling.
Peak value for internal promotions
68 % (2018 64 %) of the open Executive Board positions were filled internally. 64 % (2018 22 %) of new female executive team members were promoted internally. "2018 was an outlier; never before have so few women been appointed internally to executive management positions. In return, this year we are seeing a peak in both women and men," Schilling says. "An external executive board member always has to clear two hurdles: He or she must find his or her place on the board as well as connect with the company. That's why internal developments are to be welcomed."
Women's quota on the board of directors - business still called upon
The proportion of women on the boards of directors increases from 19 % to 21 %. "In my day-to-day professional life, I experience a greatly increased awareness with regard to gender diversity. Companies are increasingly giving themselves clear guidelines in this regard," says Schilling, noting that 88 % of companies employ at least one female board member, with 38 % (2018 25 %; previous high 2015 33 %) of vacant seats going to women. "Never before have so many vacant BoD seats been filled by women as this year," Schilling notes, "however, a growth of 2 percentage points per year is not enough to crack the magic mark of 30 % female board members by 2022. BoD chairmen and nomination committees are challenged to make an even greater effort to achieve this ambitious goal without regulation."
Proportions of foreigners have leveled off
The proportion of foreigners on the executive boards has leveled off at 45 % and on the boards of directors at just under 40 %. More than two-thirds of the foreign members of the Executive Board had already worked in Switzerland or in a Swiss company before taking up their current position; these "nationals" account for 31 %, which means that currently only 14 % of the Executive Board members came to their position directly from abroad. Among the newcomers, there are 39 % "nationals" and 16 % foreigners. "What concerns me is that we continue to rely on immigration from abroad. In addition to women, "nationals" are central to continued economic growth," Schilling explains.
Women in the public sector continue to gain ground
The public sector is performing well year on year with currently 18 % (2018 16 %) female top cadres. 38 % (2018 27 %) of vacant top positions were filled by women. "The public sector has long recognized that work-life balance is key to gender diversity," Schilling elaborates, "which is why the public sector has an above-average success in attracting qualified female top cadres."
Gender diversity pipeline - indicator for the development of the proportion of women at the top
The gender diversity pipeline is an important indicator for anticipating future developments in the proportion of women at management level. This year, up-to-date data is now available. In the Private Sector sample, there are 10 % (2017 9 %) women in executive management, 16 % (2017 14 %) in top management and 24 % (2017 21 %) in middle management. "This broadening of the gender diversity pipeline lays the foundation for a positive development of the executive boards in the future," Schilling says. The Public Sector has a much broader gender diversity pipeline than the Private Sector, with 22 % (same as 2017) women in top management and 28 % (2017 24 %) in middle management.
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