India Inc turns more diverse for positions higher up the ladder: EY India

Women account for 23% of permanent employees; differently abled make up less than 1%

Indian companies are more inclusive higher up the hierarchy than at the level of the ordinary worker, an analysis of EY India data shows.

Companies are more likely to reflect greater gender diversity among permanent employees, including those in managerial or administrative roles, than lower-rung workers. A similar trend is seen when it comes to inclusion of the differently abled.

The analysis is based on data from 1,040 listed companies, collated from their annual reports by EY India and shared with Business Standard. 

In the financial year 2022-23 (FY23), of the 7 million permanent employees in these companies, around 23 per cent were women. On the other hand, only 11 per cent of the 4.8 million permanent workers were women.

“Urgently, we must prioritise diversity, equity, and inclusion (DEI), upskill our workforce, and foster collaboration among all stakeholders,” said Nitesh Mehrotra, partner, EY India, who deals with sustainability and environmental, social, and governance (ESG) issues.

Pallavi Sharma, associate director (DEI) at Bridgespan Group, flagged job retention as the main challenge. “When women return from maternity leave, they often don’t get support from their family or the managers,” Sharma said.

Neetu Taj, a DEI professional, said, “Organisation readiness in terms of infrastructure is a challenge.”

There should be support systems like a mother’s room, where one can bring one’s child to work, or a crèche allowance and other flexible work models to sustain women returning to work after maternity leave, she added.

Persons with disabilities (PwD) account for less than 1 per cent of the workforce. Among the permanent employees, the share was 0.58 per cent compared to a 0.46 per cent share in permanent workers.

“Our general buildings are not attuned to thinking about a person with a disability, and usually, already-made offices are leased,” said Sharma.

Women’s representation is higher in the information technology sector, accounting for 34 per cent of the permanent employees and 42 per cent of the permanent workers. The automobile sector and the fast-moving consumer goods sector lag behind, with only 10 per cent female representation among employees and slightly higher among workers.

“Every sector has its own nuances. Bringing women into the workforce in the services industry is easier, but in the manufacturing sector, there are challenges,” said Avishkar Mehrotra, founder of people management consultancy Neo Navigate Pathways.

The geography of the company also matters. There is an easy entry into the workforce in the South compared to the North, he added.

The textile sector has a higher share of differently abled workforce, with 6.4 per cent of the permanent employees and 2.3 per cent of the workers.

One of the biggest challenges is that while senior leaders have awareness of the issues, there is a lack of action on the ground, said Rashmi Mandloi, co-founder of Gurgaon-based Leadup Universe. “While India is catching up, people in the West are at least 10 years ahead in DEI practices and thinking,” she added.

There remains more to be done beyond gender diversity and inclusion of persons with disabilities.

Sharma said that while there was more discussion about LGBTQ+ (lesbian, gay, bisexual, transgender, queer or questioning, or another diverse gender identity) now than five years ago, more measures for assimilation were needed, such as having same-sex partner insurance and gender-neutral washrooms.

(This is the first of a two-part series, the second part will appear on Thursday)