As an executive, I witness firsthand the transformative power of women in the business world. In fact, I believe that this is not just a matter of debate, but a concrete reality. Talented and determined women are climbing the ladder of success in every sector, assuming leadership roles and shaping the future of the business world. This journey is definitely presenting challenges. Glass ceilings, social stereotypes and gender inequality still stand in the way. However, I believe it is our collective responsibility to overcome these obstacles.
Beyond individual achievements, women's participation in the labor force is essential for social and economic development. The fact that women's employment rates in Türkiye are still low is a matter that we are required to consider and take action on. According to 2022 data provided by TUIK (TurkStat), the share of women in the workforce in Türkiye is 30.4%, while this rate is 65% for men. The Ministry of Family and Social Services aims to increase the participation of women in the labor force to 40.1%, and the employment rate to 36.2% by 2028. Thus, we are determined to be an active part of this transformation and do our part to increase women's participation in the labor force.
A Transformative Step from the Financial Sector
Further representation of women in business is not just a goal for achieving gender balance, but also a fundamental factor for sustainable growth and innovation. In this context, the 30% Club Türkiye recently launched a declaration titled "Increasing Female Representation in Corporate Boards and Senior Positions" in collaboration with Türkiye's leading investment institutions.
As QNB Invest, we are pleased to be among the signatory institutions of this declaration alongside 24 brokerage firms and 3 investment banks. The declaration we concluded is not merely an expression of intention, but also a concrete demonstration of our commitment to place equality at the core of our business strategy. Through this collaboration, we pledge to enhance women's representation in the financial sector by joining forces with the industry's leading institutions. I believe that the number of signatory institutions of this declaration will continue to grow over time.
As QNB Invest, we have the justified pride of having a 57% women representation on our board of directors. We support calls for increasing the rate of women employees and executives by promoting women's representation on boards, with a focus on advancing gender equality. We believe that increasing women's participation in decision-making processes will drive lasting transformation in the financial sector and beyond. This initiative not only supports female leadership, but also represents a crucial step towards expanding companies' innovation capacities and developing a more inclusive business model. Having more women in leadership roles will enable companies to become stronger, more competitive, and more inclusive. And this change will be possible when we act collectively.
Closing the Gender Equality Gap and Europe's Goals
The representation of women on the boards of publicly traded companies in Türkiye still falls behind Europe. Progress is slow in reaching the 25% female member ratio recommended by the Capital Markets Board (CMB). The women representation ratio, which was 17.5% in 2022, increased only to 18% in 2023. However, we are far from the 40% goal set by the European Union. At this point, I find the contributions that our investment institutions will make, not only through the advisory services they provide to client companies but also in raising awareness and creating consciousness, to be highly valuable.
The financial sector plays a key role in achieving this balance in the business world. The advisory services the financial sector provides to companies, offering investment services and related ancillary services, are also crucial in this context. In terms of raising awareness and consciousness, the leadership of financial institutions can make a significant difference.
Why Women's Representation Matter?
Research indicates that in developed markets, the average percentage of women in boards is already over 30%, and in many countries, this progress is supported by statutory quotas. This, in fact, is an indicator of the slow progression of Türkiye in this regard. However, the collaboration in the financial sector has the potential to accelerate this change.
We believe that financial institutions bear a significant responsibility in helping women achieve their career goals. Currently, the percentage of women in boards in Türkiye is at 17.9%, thus emphasizing the need for collective efforts to increase this ratio.
We have assumed the responsibility and said: "Our Goal is an Equal World!"
I believe that the financial sector's sensitivity towards increasing women's representation on boards can inspire other sectors as well. We see lower rates of women at each level of the career pyramid. Having more women in the labor force means higher financial performance, greater market value, higher employee and customer satisfaction, increased trust of investors, and, overall, a better company image. Achieving gender equality is not only a social responsibility but also an opportunity to enhance innovation and sustainability in the business world.
As QNB Group, we demonstrate the value we place on gender equality through concrete actions. We had previously expressed our commitment to this issue by being a signatory of the United Nations Women’s Empowerment Principles (WEPs). This year, as a result of our pioneering efforts in gender equality, we consolidated our commitment by being included in the 2023 Bloomberg Gender Equality Index. Additionally, we have published our Gender Equality Guide, including gender-sensitive banking principles and our action plan. These endeavors are a clear indication of our bold and concrete steps towards gender equality in the financial sector.
With the motto of "Our Goal is an Equal World!", we have set concrete goals to ensure that women take a more active role in executive levels. In order to reduce wage inequality, we aim to decrease the wage gap ratio by 3.57% this year and by 7.40% next year, compared to the overall average. Equalizing the ratio of men and women candidates in our recruitment processes and increasing the number of women employees graduated from disciplines such as engineering and technology are also among our priorities.
Esen Pamir Karagöz
CEO and Board Member, QNB Invest
References:
Turkish Statistical Institute (TUIK), Statistics on Family 2023
Anadolu Ajansı, A declaration has been signed to increase female representation in boards
The Ministry of Family and Social Services of the Republic of Türkiye, our Minister Mrs. Mahinur Özdemir Göktaş: "With 'The Strategy Paper and Action Plan on Women’s Empowerment', we will increase women's full, equal, and effective participation in the changing labor force."
Bloomberg HT, 12 companies from Türkiye included in the Bloomberg Gender Equality Index
QNB, Breaking the Glass Ceiling for a More Equal World!
