CORPORATE WINDOW: Breaking the Glass Ceiling

CORPORATE WINDOW: Breaking the Glass Ceiling

As the new year begins, it is worth taking a closer look at an issue that continues to shape Pakistan’s economic future: women’s participation in the workforce. Despite years of discussion, policies, and advocacy, progress remains slow. According to the Labour Force Survey 2025, female labour force participation stands at 22.4 per cent, unchanged from recent years. While this is an improvement from the early 1990s, when participation was below 14 per cent, growth has largely stalled since 2008.

For nearly two decades, women’s participation has fluctuated between 20 and 24 per cent, suggesting that structural barriers remain firmly in place. The numbers also reveal a sharper challenge in cities, where female participation is at least ten percentage points lower than in rural areas. This raises an important question: why does the glass ceiling persist, and what more needs to be done to break it?

Understanding the barriers

A closer examination of research and labour data points to three major factors that continue to limit women’s entry into, and retention within, the workforce.

The first is safety. Concerns about personal security in public spaces and workplaces discourage many women from seeking or continuing employment. This fear is not abstract; it is shaped by daily experiences, social norms, and weak enforcement of rules meant to protect women.

The second barrier is mobility. Limited access to safe, reliable, and affordable public transport makes commuting a daily challenge, especially in urban centres. For many women, the cost of private transport quickly outweighs the financial benefit of working.

The third factor is childcare. Quality childcare options remain limited and costly, particularly for working parents in lower- and middle-income households. When families are forced to choose, women are often expected to step back from paid work to manage caregiving responsibilities.

Together, these challenges create a cycle that is difficult to break. When women’s income is seen as secondary, the pressure to leave work during times of stress, childbirth, or family need becomes stronger.

Progress on workplace safety

In recent years, there has been meaningful progress on the legal front to improve safety and inclusion at work. One of the most significant steps was the introduction of the Protection Against Harassment of Women at the Workplace Act in 2010. This law laid the foundation for safer working environments by formally recognising and addressing workplace harassment.

In 2022, the law was strengthened through amendments that broadened the definition of harassment to include discrimination based on gender, whether or not it is sexual in nature. This shift acknowledged that exclusion, bias, and intimidation can take many forms.

However, laws alone are not enough. Awareness of what constitutes harassment remains uneven, and accountability mechanisms are often weak. Creating a culture where women feel psychologically safe requires regular training, clear reporting systems, and consistent action when boundaries are crossed.

Family-friendly policies and their limits

Pakistan’s labour laws require employers to provide maternity benefits and, in some cases, childcare facilities. On paper, these policies aim to support working parents and encourage women to return to work after childbirth.

In practice, implementation remains uneven. Many employers struggle with the operational aspects of maternity leave, while women often face subtle bias when they return to work. Teams may be understaffed, workloads increase, and women may feel pressure to prove their commitment all over again.

There is also a lack of clear guidance for employers on how to apply these laws effectively. This uncertainty slows adoption and limits the real impact of well-intentioned policies.

The childcare gap

Childcare remains one of the most significant obstacles to higher female labour participation. A joint study by UNICEF, UN Women, and the Pakistan Business Council found that 77 per cent of unemployed parents would return to work if reliable childcare options were available.

While in-house childcare centres can work for large organisations, they are often impractical for smaller firms or those with offices spread across multiple locations. High setup and operating costs further discourage employers.

This highlights the need for shared solutions. Policy discussions increasingly point towards alternatives such as mobile creches, partnerships with schools for after-school care, and childcare allowances that give parents flexibility. Without public-private collaboration, progress in this area will remain slow.

When regulation drives change

Experience shows that clear regulatory direction can accelerate results. In 2019, the State Bank of Pakistan launched its “Bank on Equality” policy to address gender gaps in the financial sector. Institutions were required to adopt board-approved gender policies with measurable targets covering hiring, retention, promotion, harassment protection, and product design.

Importantly, banks were also required to collect and report gender-disaggregated data. This focus on measurement and accountability has led to steady improvements in women’s representation across the sector.

The Securities and Exchange Commission of Pakistan has taken similar steps. Since 2017, listed companies have been required to appoint at least one female director. More recently, companies have been asked to disclose gender pay gap information in annual reports. Public disclosure creates pressure for action and encourages boards to address inequalities rather than ignore them.

Challenges beyond the workplace

While organisational reforms are essential, they cannot succeed in isolation. Many of the barriers women face exist outside the workplace.

Public transport remains a major concern. In most cities, women report safety issues, overcrowding, and limited routes. As a result, many rely on private transport options that are becoming increasingly expensive. Employer-provided transport helps in some cases, but it cannot substitute for large-scale public solutions.

Without improvements in safety, mobility, and infrastructure, gains made within offices will have limited impact on overall participation rates.

Moving beyond averages

National statistics often group all women into a single category. While this highlights the scale of the problem, it can hide progress made by individual employers and sectors. At the same time, it underscores the need for broader, industry-wide momentum.

Different groups of women face different challenges. Those with limited education, disabilities, restricted mobility, or stronger social constraints encounter compounded barriers. Policies must recognise this diversity rather than applying one-size-fits-all solutions.

A way forward

Breaking the glass ceiling requires sustained effort on multiple fronts. Existing laws and regulations must be reviewed regularly through a gender lens to assess what is working and what is not. Employers need clearer guidance, incentives, and support to implement family-friendly and inclusive practices effectively.

At the same time, governments must address structural issues such as transport, safety, and childcare through scalable public initiatives. Without this, progress will remain uneven and slow.

Increasing female labour force participation is not just about fairness. It is an economic necessity. A more inclusive workforce strengthens productivity, resilience, and long-term growth. As Pakistan looks ahead, ensuring that women can fully participate in the economy is no longer optional. It is essential for sustainable development.

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