Women feature highly amongst the top graduates in all fields at the university level and as top recruits in companies, but unfortunately, these numbers are not matched in top management. There is a significant reduction in the percentage of females when you move up the lower, middle and top management tiers. Female labour force participation in Pakistan has hovered between 20 and 25 per cent in the last 10 years. Whilst Pakistan’s Vision 2025 aims to increase participation to 45pc, this will remain a lofty target unless the barriers to participation are addressed.

Globally, an increasing amount of research demonstrates a business case for workplace diversity. In Pakistan, the World Bank has estimated the inclusion of women in the formal economy can increase GDP by 30pc. Companies that have women in top decision-making positions also perform better. In a recent report released by the Securities and Exchange Commission of Pakistan, a positive correlation was identified between the number of women on the boards of listed companies and the return on assets in 2017 and 2019. Despite this link, few women arrive at the board level by working their way up through management. Women, as primary caregivers after getting married, face a number of challenges in maintaining a work-life balance.

In Pakistan, the World Bank estimates the inclusion of women in the formal economy can increase GDP by 30pc

Around the world, women find it difficult to return to the 9 to 5 work format after starting a family. In Pakistan, those who return to work leave their child with a supporting family member or in a child-care facility. For most mothers, lack of access to family-friendly workplace policies as well as limited access to good-quality, affordable childcare are barriers to remaining in the workforce. In Tackling Childcare Pakistan: Creating Family-Friendly Workspaces, a landscape analysis study undertaken by the International Finance Corporation (IFC) and the Pakistan Business Council (PBC) in February 2020, out of 140 companies surveyed, only 27pc offered a child care solution to parents.

In terms of legislation, following the 18th Amendment, most provinces have updated the Factories Act 1934 and West Pakistan Shops and Establishments Act 1969. Companies are required to provide childcare options if they have more than a certain number of women. However, to achieve progress on greater labour force participation, employers need guidance and support to identify which solutions are best for their organisations. The Punjab Women Development Department has established a number of standards about daycare design. There is also a fund available to establish the onsite daycare facility.

In addition to the basic functional requirements of the daycare facility, standards of care and child development targets must be established. The IFC-PBC landscape analysis also surveyed 22 childcare facilities all over the country, and observations documented include both a lack of adherence to the early childhood curriculum and qualified caregivers. Rudaba Nasir, IFC Childcare lead relates, “we have undertaken similar landscape analyses in other South Asian countries, the advantage is that it enables us to collate data in terms of demand and supply. The analysis of various parameters have identified various gaps and have helped us develop informed recommendations for employers, the government and childcare providers.”

Employers can be hesitant to establish childcare options for their employees as it involves increased responsibility, cost, and they do not know where to start the process. In this respect, learning from peer companies can be a valuable exercise. The PBC’s Centre of Excellence in Responsible Business (Cerb) has been engaging with businesses that are committed to developing family-friendly policies but could benefit from guidance. The year-long Peer Learning Collaboration enabled companies to learn from each other. “Thirteen companies in multiple sectors committed to achieving certain steps towards family-friendly policies,” explains Ehsan Malik, CEO Pakistan Business Council. “The team has documented the achievements which can be used as guidance for those who want to follow suit.”

Whilst mothers would like to continue to work after having children, lack of affordable and quality childcare deters them from going back to a formal working environment. Many women find other options such as teaching. Private schools in Pakistan today offer incentives to encourage highly educated mothers to teach by offering a reduction in the child’s school fee. Both mother and child travel together, working hours are flexible and childcare is offered. These incentives increase retention and can be a lesson to businesses who lose out on a valuable resource.

Offering employees flexibility in their working hours at the office can enable parents to maintain the balance. Prior to the pandemic, human resource departments struggled with the justification of the concept of working from home. The landscape analysis revealed only 22pc of companies surveyed provided flexible working hours. But due to the necessity and demand of Covid-19, policy changes have been made and implemented for over a year now. This shows that policies are not set in stone and can be changed. Covid-19 has shown families can work from home and create a new work-life balance — even though the initial change was stressful for all.

To ensure increased gender parity, as a first step company boards can set a target to increase retention of women. The IFC-PBC Tackling Childcare Pakistan: Creating Family-Friendly Workspaces recommends that whilst employers should follow a need-based assessment as a first step, policymakers should ensure the implementation of the legislations in spirit and, if required, create mechanisms that support employers. The business case for gender participation has been clear for some time — an integrated effort is needed to deliver an upward change in numbers.

The writer is a Senior Research Associate, Centre of Excellence in Responsible Business, the Pakistan Business Council

Published in Dawn, The Business and Finance Weekly, January 22nd, 2021