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Women and employment

Increased work opportunities through trade liberalisation can be empowering...

Trade policies affect men and women differently. Trade liberalisation has no doubt led to an increase in employment opportunities for women; for example, women who previously had no paid employment may now have greater opportunities for employment in export-oriented sectors such as textiles, or in new businesses such as information and communication technology. This is because these sectors largely employ women, for a variety of reasons: women are considered more reliable, less likely to complain, and better at close, detailed work such as sewing. At the same time they are expected to take lower wages because it is assumed they are not the main earners in a family.


...But they often come at a price

However, the competition built into trade liberalisation can also lead to unemployment and the restructuring of labour markets - a situation that tends to affect poor and marginalised groups of women more than men. This is because women tend to work in industries that are more sensitive to foreign competition and most likely to contract at periods of economic downturn, leading to loss of jobs.

women tend to work in industries that are more sensitive to foreign competition

 Also, the need for flexible workers to respond to market fluctuations has led to a rise in the numbers of informal sector workers, of which a high percentage are women. Informal workers are usually more vulnerable as they are often employed without contracts that protect their rights. Finally, although paid work outside the home can be an advantage to women in many ways, the work needed to also reproduce and care for the labour force often means a double work burden, particularly as women often have to take on added caring responsibilities.


The gender wage gap

There is ample evidence that the gap between women's wages and those of men is far from being closed, despite some cases where this gap has been addressed.  According to the World Bank, if the wage and employment differences between men and women were eliminated, this could lead to a one-time increase of approximately 6 per cent of GDP and overall greater economic efficiency.

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