Sigtona Halrynjo and Mari Teigen
The European Union (EU) has recently adopted gender quotas for corporate boards (CBQ), anticipating ripple effects on women’s careers in the companies concerned, as well as…
Abstract
Purpose
The European Union (EU) has recently adopted gender quotas for corporate boards (CBQ), anticipating ripple effects on women’s careers in the companies concerned, as well as throughout the economy. The purpose of this paper is to investigate whether CBQ has spurred ripple effects and discuss mechanisms hindering or facilitating women’s occupancy of top executive positions.
Design/methodology/approach
Norway was the first country in the world to introduce CBQ in 2003, with full effect from 2008. The policy requires company boards to be composed of 40% of each gender. Drawing on original data mapping boards and executive committees in Norway’s 200 largest companies, the authors analyze the association between CBQ and the gender composition of executive management almost 15 years after the full implementation. The data include both companies covered by the CBQ and large companies not covered.
Findings
The investigation does not find a positive association between CBQ and more women in executive positions. Thus, the ripple effect hypothesis of CBQ is not supported. CBQ may have contributed to an increased awareness of gender imbalances, yet these findings indicate that to achieve more gender balance in executive positions, scholars and practitioners may need to focus more on gendered conditions and processes in organizations and society throughout executive careers than on the gender composition of boards.
Originality/value
This paper provides empirical analyses of original data 15 years after the implementation of CBQ. The authors further contribute to scholarly debate by identifying and discussing possible mechanisms that explain how requiring more women on corporate boards may – or may not – have ripple effects on executive management.
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Why did Sweden and Norway arrive at different conclusions with regards to the introduction of corporate gender quotas? The chapter points to two decisive and interwoven…
Abstract
Why did Sweden and Norway arrive at different conclusions with regards to the introduction of corporate gender quotas? The chapter points to two decisive and interwoven explanations.
First, there is a question of varieties of capitalism – even within the Scandinavian model: The strong and traditionally socially responsible Swedish business life enjoyed more autonomy than their Norwegian counterpart, making it harder for the Swedish state to interfere in business life. In Norway, on the other hand, the state was a dominant capitalist itself whereas private owners in general were small and dispersed. Consequently, the capacity of the state to interfere in business life was larger, compared to Sweden.
Second, there is a matter of different cultures concerning gender equality and the attitudes towards state intervention: In Norway, an established gender quota tradition and rather positive attitudes towards state intervention created a moderate discursive climate in gender equality matters. A discursive tradition accepting women as a group as different from men as a group gave politicians a larger scope of action concerning gender equality measures directed at women only. In Sweden, the discursive climate was more hostile towards state intervention, and there was a less strong tradition for legally imposing gender quotas. In addition, Swedish feminists were active and conflict-oriented, thereby creating a polarized gender equality discussion in a public life traditionally oriented towards consensus-based solutions to political discrepancies.
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Fredrik Engelstad and Mari Teigen
The relationship between gender, family and employment is often depicted as the outcome of rational allocation between time in paid work and time spent on family-related tasks…
Abstract
The relationship between gender, family and employment is often depicted as the outcome of rational allocation between time in paid work and time spent on family-related tasks, such as household chores and care for children and other dependent persons (Becker, 1991). This balancing process may be framed in purely economic terms as a question of which spouse should be most active in the labour market when the goal is that of maximizing the total family income. It may also be conceived as deliberations over gender role norms (e.g. Petersen, 2002). If spouses have similar earning capacity, or if they accord relatively little importance to variation in pecuniary income, they may instead decide the employment pattern on the basis of norms of fairness or gender equality. In both cases the couple making the decision is portrayed as context-free actors maximizing a simple set of values: family income or gender equity.
The spread of corporate board quota legislation is studied in light of diffusion theory. Mechanisms of diffusion, path dependency and critical junctures can contribute to…
Abstract
The spread of corporate board quota legislation is studied in light of diffusion theory. Mechanisms of diffusion, path dependency and critical junctures can contribute to explaining the spread of policy reforms, such as the corporate board quota legislation. The empirical section describes the Norwegian reform process and maps out the ongoing European and global reform processes and debates. Seven countries, in addition to Norway, have in recent years initiated legal reforms and adopted corporate board quota rules: Spain, Iceland, France, the Netherlands, Belgium, Italy and Malaysia. However, the debates over the introduction of parallel legislation extend further, and are a burning issue in several other Western European countries, as well as globally. The discussion addresses why this policy spreads, and tries to understand the complexities of factors that have led to the diffusion of public debate and legal reform of corporate board quota.
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Hilde Bjørkhaug and Siri Øyslebø Sørensen
Lack of women in boardrooms and management has been a common feature of corporate and agricultural sectors in Norway. In both sectors, quota reforms have been implemented in order…
Abstract
Lack of women in boardrooms and management has been a common feature of corporate and agricultural sectors in Norway. In both sectors, quota reforms have been implemented in order to change this situation. This chapter analyses the reasons given for applying gender quotas. While public limited companies were enforced by law to elect a minimum 40 per cent women or men to their boards in 2008, the board of the Federation of Norwegian Agricultural Co-operatives (FNAC) voluntarily decided that a minimum of 40 per cent women or men should be represented in their boards by 2009. How could it be that the agricultural cooperatives introduced this voluntarily, while the business corporations were to be forced by legislation? Public documents, governmental papers, media texts and interview data are analysed to identify and compare the reasoning for gender board quotas. The comparison sheds light on our understanding of the boardroom quota as more complex than simply to deal with gender equality. Traditional gender equality arguments did play a role, but in different ways, articulations and emphasis. More pragmatic reasoning played a role. In FNAC, we saw that the process of organisation-building and modernisation played an important role in the decision to voluntarily introduce gender quotas on boards. Within the corporate sector there were no advocates for introducing gender quotas before profitability arguments came to the fore, but even though such arguments were acceptable to the corporate sector, they did not have the same effect in terms of getting volunteer support for gender quotas.
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Fredrik Engelstad, Trygve Gulbrandsen, Marte Mangset and Mari Teigen