Service Sector Female Labor Preference
Observational StudyReview
Traditional manufacturing and agricultural industries prioritize male physical labor, resulting in persistent gender discrimination and low demand for female workers.
Picture this
Imagine a shift from heavy physical construction work requiring raw lifting power to customer support centers requiring friendly tone and high trust. Because employers perceive female workers as having better interpersonal skills and higher integrity, women become the preferred choice for these new roles.
What the evidence says
Women hold approximately 45 percent of all BPO jobs in India—substantially higher than in most other industries—with starting salaries ranging from 5,000 to 10,000 INR (US$110-220) per month, which was twice the average pay of non-BPO jobs for similar education levels.
- Who was studied
- Business Process Outsourcing (BPO) sector employers and workers across major urban hubs and 160 rural hinterland villages in North India.
- How
- Industry survey and labor market evaluation examining sector gender ratios, starting salary premiums, and employer hiring preferences in the Indian BPO market (2003-2006).
What to do
Promote modern service-sector industries (such as call centers and digital support) in emerging economies to leverage employer preferences for female labor and boost women's workforce participation.
From the source
"Women hold a relatively large share of BPO jobs in India (close to 45 percent), which is high in comparison to the sex ratio for employment in most other industries. Employers have reported preferring hiring women for these jobs for several reasons, including that women interact with customers in a more pleasant way and that they believe women are more trustworthy than men."
Improving_Labor_Market_Opportunities_to_Increase_Womens_Employment.pdf