Women in The Workplace 2020
Women in The Workplace 2020
Women in The Workplace 2020
IS AT A CRITICAL
CROSSROADS
the Workplace
2020
2 | WOMEN IN THE WORKPLACE: ABOUT THE STUDY
Table of Contents
06 Introduction
The events of 2020 have turned workplaces upside down. Companies
risk losing women at all levels of management—but they also have an
opportunity to build a better workplace.
35 Introduction
Two things are clear: Companies need to address the heightened challenges
women are facing, and they need to better support Black women.
54 Acknowledgments
55 Report Authors
56 Corporate Pipeline by Industry
58 Methodology
60 Endnotes
PART 1: THE SITUATION
Covid-19 has
disrupted the
workplace in ways
we’ve never seen
before
6 | WOMEN IN THE WORKPLACE: INTRODUCTION
SR. MANAGER/
ENTRY LEVEL MANAGER DIRECTOR VP SVP C-SUITE
WHITE MEN
35%
44%
51% 57% 59% 66%
MEN OF COLOR 18%
18%
15% 13% 13% 12%
WHITE WOMEN
29% 26% 19%
25% 24% 23%
3%
WOMEN OF COLOR
6% 5%
12% 9%
18%
TOTAL WOMEN IN
2020 47% 38% 33% 29% 28% 21%
% CHANGE FROM
2015–2020 +5% +3% +5% +4% +18% +22%
% POINT CHANGE
FROM 2015–20204 +2.1pp +1.2pp +1.5pp +1.2pp +4.1pp +3.7pp
9 | WOMEN IN THE WORKPLACE: THE STATE OF THE PIPELINE
. . . and now the Covid-19 The broken rung has a long-term impact on
the talent pipeline. Since men significantly
crisis could erase all the outnumber women at the manager level,
there are far fewer women to hire or promote
gains we’ve made to senior managers. And the number of
women decreases at every subsequent level.
So even as hiring and promotion rates
Due to challenges created by the Covid-19 crisis, as many as two improve for women at senior levels, women
million women are considering taking a leave of absence or leaving as a whole can never catch up. There are
the workforce altogether. This is the first time we’ve seen signs of simply too few women to advance.
women leaving the workforce at higher rates than men; in the
previous five years of this study, women and men left their
companies at similar rates. If these women feel forced to leave the
workforce, we’ll end up with far fewer women in leadership—and far
fewer women on track to be future leaders. All the progress we’ve
seen over the past five years would be erased.
SECTION 2
Impact of Covid-19
The pandemic is a health and financial crisis that has
turned people’s lives and workplaces upside down.
Many employees are exhausted and burned out.
Women in particular have been negatively impacted,
and three groups are facing distinct challenges:
mothers, senior-level women, and Black women.
11 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
The Covid-19
crisis has been
grueling for
employees
12 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
6. Financial insecurity
* This report contains stock photographs for illustrative purposes only. Images do not reflect the identities of the women quoted. Within the quotes, some identifying details
may have been altered and/or withheld to protect the speaker’s anonymity.
13 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
A CLOSER LOOK
>> Feeling like they need to be available to work at all hours, i.e., “always on”
>> Worry that their performance is being negatively judged because of caregiving
responsibilities during the pandemic
>> Discomfort sharing the challenges they are facing with teammates or managers
Although these factors hurt all employees, some groups of women experience certain
challenges at higher rates. For example, mothers are more likely than fathers to worry that
their performance is being negatively judged due to their caregiving responsibilities.
Women in senior leadership are more likely than men at the same level to feel as though
they are “always on.” And Black women are more likely than women and men overall to
feel like they can’t bring their whole selves to work.
14 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
A CLOSER LOOK
Burnout
100% 100%
16 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
Covid-19 could
push many
mothers out of
the workforce
17 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
IN THEIR WORDS
“
and housework have mostly
There’s an assumption in a lot of
fallen to mothers families that the woman is the
primary caregiver. Kids literally walk
past their dads to go to their moms to
Decades of research show that women do significantly more housework and
childcare than men—so much so that women who are employed full-time are
ask for stuff. The pandemic has
often said to be working a “double shift.”11 During Covid-19, women—and highlighted how disproportionately
mothers in particular—are taking on an even heavier load. Mothers are more things fall on women.”
than three times as likely as fathers to be responsible for most of the housework
and caregiving.12 In fact, they’re 1.5 times more likely than fathers to be ASIAN AMERICAN WOMAN, THREE CHILDREN
spending an extra three or more hours a day on housework and (UNDER AGE 5), MANAGER
childcare—equivalent to 20 hours a week, or half a full-time job.
Meanwhile, for the 1 in 5 mothers who don’t live with a spouse or partner, the
challenges are even greater. Single mothers are much more likely than other
parents to do all the housework and childcare in their household, and they are
also more likely than mothers overall to say that financial insecurity is one of 76% of mothers with children under
their top concerns during the pandemic. age 10 say childcare is one of their
top three challenges during
Covid-19, compared to 54% of
fathers with young children.
MOTHERS ARE THREE TIMES MORE LIKELY TO BE RESPONSIBLE FOR MOST OF THE HOUSEHOLD LABOR
Fathers Mothers
3%
11%
More than 70% of fathers think they are
splitting household labor equally with
their partner during Covid-19—but only
44%
44% of mothers say the same.
72%
13%
12%
3%
19 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
A CLOSER LOOK
On top of increased
demands at home, mothers
worry they’ll be judged more
harshly at work
Because of the heavier demands that mothers are shouldering at home, it’s
especially difficult for them to balance work and life during Covid-19. Mothers
“
I don’t talk about my caregiving
responsibilities with my boss.
Women with children always have
some stigma attached to them in
the workplace. People might think I
don’t work as hard because I have
are more likely than fathers to feel exhausted and to say that childcare and children. I never want that stigma to
homeschooling are among their biggest challenges during the pandemic.
be attached to me and my work.”
Mothers also face persistent bias in the workplace. There’s a false perception
ASIAN AMERICAN WOMAN, TWO CHILDREN
that mothers can’t be truly invested in both family and work and are therefore (AGES 5 AND 7), DIRECTOR
less committed than fathers and women without children.14 And when mothers
take advantage of flexible work options, that perception is strengthened, even
if they are just as productive as other employees.15 Now that family demands
are front and center—and sometimes literally visible to co-workers over
videoconferencing—this bias may be intensified.
Mothers are clearly concerned about how this bias could impact their careers
during Covid-19. They are more than twice as likely as fathers to worry that
their performance is being judged negatively because of caregiving
responsibilities. They are also far more likely to feel uncomfortable sharing
work-life challenges—or that they’re a parent at all—with colleagues.
Since the start of the Covid-19 crisis, % of parents who have experienced . . .
5%
2.6x
more Non-parent caregivers face
stigma, too. Employees caring for
11%
13%
sick or elderly relatives also worry
their performance will be judged
2.1x negatively because of these
more
19% responsibilities.
1.5x
more
24%
29%
21 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
MOTHERS ARE MORE LIKELY THAN FATHERS TO CONSIDER SCALING BACK OR LEAVING BECAUSE OF COVID-19
% of employees who have considered changing their work situation during the Covid-19 crisis
Fathers Mothers
Reducing my
9% 17%
work hours
Switching to a less
11% demanding job 16%
Companies are
at risk of losing
women in
leadership
23 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
IN THEIR WORDS
Not surprisingly, senior-level women are significantly more likely than men at the BLACK WOMAN, C-SUITE
same level to feel under pressure to work more and as though they have to be EXECUTIVE
“always on.” And they are 1.5 times more likely than senior-level men to think
about downshifting their careers or leaving the workforce because of Covid-19.
Almost 3 in 4 cite burnout as a main reason.
54%
39%
36%
41%
27% 29%
If women leaders leave the workforce, women at all levels could lose their most
powerful allies and champions.
% of men in senior leadership vs. women in senior leadership who consistently take allyship actions
I publicly acknowledge or
give credit to women of color
39% 44% 60%
for their ideas and work
IN THEIR WORDS
BLACK WOMEN OFTEN DON’T FEEL COMFORTABLE BRINGING THEIR WHOLE SELVES TO WORK
42%
22%
19%
14% 15%
10% 9%
7%
6%
I feel uncomfortable sharing my I feel uncomfortable sharing my I feel like I can’t talk about the impact
thoughts about racial inequity26 experience of grief or loss26 current events are having on me or
people in my community27
30 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
A CLOSER LOOK
EMPLOYEES WHO SAY THEY ARE ALLIES DON’T ALWAYS TAKE ACTION MEN WOMEN
% of employees who say they are allies to women of color vs. % who consistently take allyship actions
65%
61%
52%
45%
34% 35%
32% 32% 32%
ALLYSHIP 26%
ACTIONS
12%
8%
I am an ally to women I actively listen to the I publicly acknowledge If I see discrimination I take a public I mentor or sponsor
of color at my work personal stories of or give credit to women against women of stand to support one or more women of
women of color about of color for their ideas color, I actively work to racial equality color
bias and mistreatment and work confront it
31 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
It’s important to
understand that
intersectionality
impacts women’s
experiences
32 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
HOW DIFFERENT GROUPS OF WOMEN ARE FEELING DURING COVID-19 BETTER EXPERIENCE WORSE EXPERIENCE
28% 32% 37% 40% Burned out 33% 30% 27% 33%
20% 22% 25% 36% In the dark 22% 18% 19% 23%
Discomfort sharing
9% 13% 20% 24% 13% 12% 14% 16%
challenges
33 | WOMEN IN THE WORKPLACE: THE IMPACT OF COVID-19
A CLOSER LOOK
Companies are at a
critical crossroads
35 | WOMEN IN THE WORKPLACE: SOLUTIONS
A Framework
for Action
Success will look different for different organizations, but two
things are clear: Companies need to address the heightened
challenges women are facing, and they need to better support
Black women.
37 | WOMEN IN THE WORKPLACE: SOLUTIONS
How companies
can address the
core challenges
women are facing
38 | WOMEN IN THE WORKPLACE: SOLUTIONS
“
Covid-19 has made it much harder for employees to draw clear lines between
work and home, and many employees feel like they are “always on.” We’re looking at whether to
Companies should look for ways to re-establish work-life boundaries. For make some bigger
many, this may require setting new work norms—for example, establishing set
structural changes to
hours for meetings, putting policies in place for responding to emails outside
typical business hours, and improving communication about work hours and
scheduling norms, like
availability within teams. company-wide flexibility,
no-meeting Wednesdays,
Companies can also encourage employees to set their own boundaries and or no-meeting lunches.”
take full advantage of flexible work options. Even when these options are
CHRO, RETAIL INDUSTRY
available, some employees worry there may be a stigma attached to using
them. To mitigate this, leaders can assure employees that their performance
will not be measured based on when, where, or how many hours they work.
Leaders can also communicate their support for workplace flexibility—57
percent of employees say senior leaders at their company have done this
during Covid-19. In addition, leaders can model flexibility in their own lives,
which sends a message to employees that it’s okay to take advantage of
flexible work options. When employees believe senior leaders are supportive
of their flexibility needs, they are less likely to consider downshifting their
careers or leaving the workforce.
CASE STUDY
Adobe’s employee pulse survey of August 2020 suggests these efforts are
genuinely helping. Questions about whether managers care about
employee well-being and whether employees have the flexibility they need
received favorability rates30 of 85 percent and higher.
41 | WOMEN IN THE WORKPLACE: SOLUTIONS
“
gender bias
We really need to change the
The pandemic may be amplifying biases women have faced for years:
definition of what performing
higher performance standards, harsher judgment for mistakes, and
strongly means this year. A woman
penalties for being mothers and for taking advantage of flexible work
options.31 These biases could show up in new ways during Covid-19: For on my team asked me, ’How is this
example, when judgmental comments are made about young children all going to impact my ability to get
playing in the background on video calls; when co-workers assume, promoted? Is the fact that I have
consciously or unconsciously, that women are less committed to their jobs; children at home and I have to divide
or when managers are evaluating women in performance reviews. Given
my time, will that hurt my chances of
that managers and team members have less visibility into their colleagues’
day-to-day work, they may be more likely to make assumptions about their
getting promoted?’ I want to say, ’No,
performance, and this increases the chance of bias creeping in. it’s not going to hurt you.’ But how do
I put that into action? In reality, it may
To mitigate the biases that women are up against, companies need to make hurt her chances when she is up
sure that employees are aware of them. Leaders and employees should against a man who didn’t have to
publicly speak to the potentially outsized impact of bias during Covid-19. deal with any of that.”
Bias training can also help. In the past year, just 1 in 4 employees has
participated in unconscious bias training, and even employees who have VP, FINANCIAL SERVICES INDUSTRY
participated in the past would benefit from a refresher. And finally, it’s
important to track outcomes for promotions and raises by gender—as well
as the breakdown of layoffs and furloughs by gender—to make sure women
and men are being treated fairly.
42 | WOMEN IN THE WORKPLACE: SOLUTIONS
“
Many companies have extended policies and programs to support
employees during Covid-19, from offering more paid time off to We made it very clear to our
providing resources for homeschooling. Companies should make sure associates from the beginning of the
employees are aware of the full range of benefits available to them.
pandemic that our first priority was
Right now, there’s a significant gap between what companies offer
their health and safety. And we
and what employees are aware of. For example, almost all companies
offer mental health counseling, but only about half of employees offered extended sick leave and
know this benefit is available. The same trend holds for other valuable family leave. We heard from
programs such as parenting resources, health checks, and associates that it really made a
bereavement counseling. difference. It alleviated a lot of
anxieties they were feeling. What
As organizations settle into this new normal, they should determine
seems like a simple policy change
how effectively they are addressing employees’ biggest challenges
really has far-reaching power to
and reallocate resources to the programs that are most valuable.
Given how unprecedented this crisis is, they should also consider support our employees.”
whether their benefits go far enough to support employees.
CHIEF TRANSFORMATION OFFICER,
TECHNOLOGY INDUSTRY
43 | WOMEN IN THE WORKPLACE: SOLUTIONS
6. Strengthen employee
communication
“
Open and frequent communication with employees is critical, especially
in a crisis; when employees are surprised by decisions that impact their Since Covid-19, our senior leadership
work, they are three times more likely to be unhappy in their job. Yet, 1 has increased the number of
in 5 employees have consistently felt uninformed or in the dark during touchpoints, whether it’s through
Covid-19. This suggests that companies should share more regular
town halls, webinars, or Zoom calls.
updates on the state of the business and key decisions that affect
employees’ work and lives—and they should directly address what We’ve used them to learn from
difficult news means for employees. It’s also critical that leaders and HR managers and associates and to
teams communicate with empathy, so employees feel valued and communicate what we’re doing to
understood. Research shows that this kind of openness and support employees, including
understanding reduces anxiety and builds trust among employees.32
resources for their emotional and
physical well-being.”
How companies
can better support
Black women
45 | WOMEN IN THE WORKPLACE: SOLUTIONS
“
Diverse companies are more innovative and productive, so when Black
women are held back by bias, it hurts everyone.33
We’ve made commitments as a
The first step to solving this is making an explicit commitment to company to racial diversity. We laid
advancing and supporting Black women and communicating it to out how we would increase the
employees, along with a clear explanation of why it’s important. Many
representation of Black managers to
employees don’t realize that Black women are having a markedly worse
experience at work. But for six years, this study has shown this to be 25 percent, and we’d add at least 100
true: Compared with women of other races and ethnicities, Black Black employees to leadership. We’re
women face more systemic barriers, receive less support from also going to partner with historically
managers, and experience more acute discrimination. If employees black colleges and universities and
understand this, they will be more likely to champion the Black women
set up scholarships for Black students
in their organization.
at community colleges.”
Then, to address the distinct experiences of Black women, companies HR MANAGER, FOOD MANUFACTURING INDUSTRY
should adopt an intersectional approach to their diversity efforts. Many
corporate diversity efforts focus on either race or gender, which means
women of color may end up being overlooked. In contrast, when
companies set goals and track outcomes by gender and race
combined, they can gain data-driven insights into the barriers Black
women are facing and target specific interventions with recruiting,
mentorship, and sponsorship.
46 | WOMEN IN THE WORKPLACE: SOLUTIONS
“
valued and included. There are two equally important parts of this:
making it clear that discriminatory behavior and microaggressions won’t
be tolerated, and taking real steps to make sure Black women get the We had Black employees speak to
formal and informal support that other employees do.
leadership and they told us that there
Many companies have specific guidelines for conduct that is not
is systemic racism in our company.
acceptable, which is a good first step. But it’s also important to explain That was really hard to hear. But we
what positive, inclusive behavior looks like and celebrate examples of it decided we had to own it. We put out
in practice. Employees will be better equipped to do their part if they a statement saying, ‘We know this is
receive diversity and allyship training; this will give them a more not okay. We thought we were doing
complete understanding of how to combat racial discrimination and
a good job with racism, but we’re
how to show up for Black women as allies.
not.’ We had a huge blind spot with
Finally, it’s important to reflect on organizational customs, rituals, and issues of race in the U.S. And we
norms to make sure they’re inclusive. For example, are Black women have to fix it.”
being included in informal gatherings? Are team events held in spaces
where everyone is welcome and safe? Gathering input from Black CHRO, RETAIL INDUSTRY
women on what is and isn’t working for them is critical to this
process—as is giving Black women a voice in shaping new company
norms. The more that companies take into account the unique
perspectives and experiences of different groups of employees, the
more effectively they can create an inclusive culture.
47 | WOMEN IN THE WORKPLACE: SOLUTIONS
A CLOSER LOOK
CASE STUDY
Feedback about the allyship sessions has been positive, with over 90
percent of participants rating the workshops a 10 out of 10. Participants
shared that they had learned the first steps to becoming allies: Work on
their own bias, be okay with feeling uncomfortable, and be open to difficult
conversations. Others said that they felt encouraged by the passion they
saw in their co-workers to understand and support communities of color.
49 | WOMEN IN THE WORKPLACE: SOLUTIONS
A CLOSER LOOK
“
Companies should empower managers to do more to alleviate stress and
exhaustion on their teams. For example, two-thirds of companies have instructed
managers to check in with employees about their workload and well-being during I wish my manager had held
the Covid-19 crisis. But only about a third have asked managers to take specific some check-ins and had
steps to ensure that parents’ work-life balance needs are being met. And very
been a little bit less
few companies have directed managers to take bolder action: only 8 percent have
business as usual during the
asked managers to reduce their team’s scope of work. Although this is not
always possible, alleviating work that is not critical would lessen the pressure early days of the crisis. It
on employees. would have given people
more peace of mind. I
Managers would benefit from more guidance on how to best support Black women.
Compared with women of other races and ethnicities, Black women are less likely would’ve liked to have been
to report that their manager has taken steps to ensure their work-life needs are asked, ‘Hey, how are you?
being met. And less than a third of Black women report that their manager has Do you feel like you’re
checked in with them in light of recent racial violence—or think that their manager being supported during this
fosters an inclusive environment. More manager training could help. In the past
time?’ Especially for team
year, 1 in 3 managers has received unconscious bias training, and just 1 in 5 has
members who have families
received training on fostering diversity and inclusion. Companies should also create
opportunities for managers to share challenges and brainstorm solutions together. at home or who have never
worked from home before, I
It’s worth remembering that managers will be better equipped to show up for their
didn’t see those
teams if they feel more supported themselves. Company leadership should
encourage managers to take full advantage of flexible work options, and their own conversations being had.”
managers should check in regularly to see how they’re doing and what they need.
BLACK/LATINA MANAGER
% of companies saying they have instructed managers to take actions vs. % of employees saying manager has taken actions during Covid-19
100%
73% 68%
What companies have
43%
asked managers to do
The Road to
Progress
If companies can rise to the challenges the Covid-19
crisis has thrown into high relief, we may be laying the
foundation for a better workplace.
51 | WOMEN IN THE WORKPLACE: CONCLUSION
PHOTO PLACEHOLDER
53 | WOMEN IN THE WORKPLACE: CONCLUSION
Acknowledgments
McKinsey & Company and LeanIn.Org would like to thank
the 317 companies and more than 40,000 employees who
participated in this year’s study. By sharing their
information and insights, they’ve given us new visibility
into the state of women in the workplace and the steps
companies can take to achieve gender equality.
Report authors
RACHEL THOMAS is CEO of LeanIn.Org, the nonprofit she LAREINA YEE is a senior partner and the chief diversity and
co-founded with Facebook COO Sheryl Sandberg to help women inclusion officer at McKinsey & Company. Her client focus is in the
achieve their ambitions and create a more equal world. Under her technology sector, where she leads McKinsey’s Scaled Innovators
leadership, Lean In has become a go-to resource for original Initiative examining how technology can reshape industries.
research and data-backed tools to dismantle systemic bias at work, Lareina has pioneered McKinsey’s research on the business case
and the Lean In community has grown to include tens of thousands for diversity and belonging, advancing women in business, and
of small peer-support Circles in 183 countries. Rachel regularly leads McKinsey’s 10 Actions to advance racial justice.
speaks and writes on issues that affect women and is the host of
Tilted, a podcast on the intersection of gender and culture.
ALEXIS KRIVKOVICH is the managing partner in McKinsey’s San
Francisco office and a leader in the Financial Services Practice,
MARIANNE COOPER, Ph.D., is a sociologist at the VMware Women’s overseeing FinTech efforts in North America. She helps companies
Leadership Innovation Lab at Stanford University, where she align their organizations for growth and productivity. Alexis is a
conducts research on gender, women’s leadership, and diversity and thought leader on financial innovation and diversity and is
inclusion. She served as lead researcher for Sheryl Sandberg’s passionate about advancing women in leadership.
best-selling book Lean In: Women, Work, and the Will to Lead and is
an author on all six of the Women in the Workplace reports. She is a
JESS HUANG is a partner in McKinsey’s Silicon Valley office. She is
contributing writer to The Atlantic, The New York Times, and Harvard
a leader in the Marketing and Sales practice, where she leads
Business Review, as well as a LinkedIn influencer.
McKinsey’s Loyalty work in North America. She advises consumer
retail companies on growth topics including digital strategy, loyalty,
GINA CARDAZONE, Ph.D., is the head of research at LeanIn.Org. As digital marketing, and customer analytics. Jess is a frequent author
a community and cultural psychologist, she works to improve lives on retail and digital marketing topics and often speaks on
and strengthen communities through research, design, systems advancing women in business.
thinking, and innovation. Prior to joining LeanIn.Org, Gina was a
researcher and advisor to coalitions, nonprofits, and federal agencies
SARA PRINCE is a partner in McKinsey’s Atlanta office. She has 15
including the Department of Labor and the Corporation for National
years of experience serving clients on growth strategy, commercial
and Community Service.
capability building, and growth transformation. Sara has also
co-authored McKinsey’s groundbreaking series Diversity Matters,
KATE URBAN is LeanIn.Org’s lead research writer, where she linking financial performance and levels of gender and ethnic
translates data into digestible content and thought leadership. She diversity in a company’s leadership team, and founded McKinsey’s
holds a master’s degree in earth systems from Stanford University Black Leadership Academy.
and is passionate about using the combined power of data, empathy,
and communication to build a more equal and resilient world.
ANKUR KUMAR is an associate partner in McKinsey’s New York
Previously, Kate worked as a writer and editor at Coursera and other
office and a leader in McKinsey Academy, a client-facing practice
mission-driven organizations.
focused on capability building and leadership development. Ankur
is an expert in diversity and co-leads McKinsey’s Black Leadership
ALI BOHRER is chief of staff at LeanIn.Org. She guides the Academy.
organization’s strategic priorities and leads the execution of its
large-scale initiatives. Ali is passionate about changing the landscape
SARAH COURY is an engagement manager in McKinsey’s Chicago
for women in corporate America and knocking down the barriers
office. She serves consumer and retail clients on marketing topics,
holding them back. Prior to joining Lean In, she was a senior analyst
with a passion for helping brands craft their growth and
at McKinsey & Company.
go-to-market strategies. Sarah has led special projects to address
COVID-19 impacts for retail companies.
MADISON LONG is LeanIn.Org’s lead business analyst who steers
data-driven projects to grow Lean In’s global community and
maximize its impact. Madison is passionate about youth advocacy
and empowering girls of color to create a more equal, accessible,
and resilient world. Previously, she was a senior financial analyst
at Microsoft.
56 | WOMEN IN THE WORKPLACE: CORPORATE PIPELINE BY INDUSTRY
BANKING AND
CONSUMER FINANCE
CONSUMER PACKAGED
GOODS*
HEALTHCARE SYSTEMS
AND SERVICES*
INSURANCE
57 | WOMEN IN THE WORKPLACE: CORPORATE PIPELINE BY INDUSTRY
IT SERVICES AND
TELECOM
MEDIA AND
ENTERTAINMENT*
PHARMACEUTICALS AND
MEDICAL PRODUCTS
PROFESSIONAL AND
INFORMATION SERVICES
RESTAURANTS
RETAIL*
TECHNOLOGY: HARDWARE
TECHNOLOGY: SOFTWARE
TRANSPORTATION, LOGISTICS,
AND INFRASTRUCTURE*
* This year, select industries, especially those disproportionately affected by Covid-19, saw significant change in participation rates from years past. As a result, participant composition in 2020 in these select
industries is not directly comparable to years past: Consumer Packaged Goods; Engineering and Industrial Manufacturing; Food and Beverage Distribution; Healthcare Systems and Services; Media and
Entertainment; Public and Social Sector; Retail; and Transportation, Logistics, and Infrastructure.
58 | WOMEN IN THE WORKPLACE: METHODOLOGY
Methodology
This report is based on research from 317 companies across the Human resource professionals provided information on policies,
United States and Canada, building on similar research conducted programs, and priorities on behalf of their company between June and
annually by McKinsey & Company and LeanIn.Org since 2015, as well August 2020. Additionally, employees were surveyed on their
as research from McKinsey & Company in 2012. workplace experiences between June and August 2020. These
datasets represent point-in-time snapshots and reflect companies’
Participating companies from the private, public, and social sectors responses and employees’ experiences at the time that the survey
submitted talent pipeline and/or policies and programs data. In was taken.
addition, more than 40,000 employees from 47 companies were
surveyed on their workplace experiences, and we interviewed 49 Where appropriate, some statements describing women’s experiences
women and men of different races and ethnicities, LGBTQ+36 women, in the workplace were taken from past survey data that has been
and women with disabilities at all levels in their organizations. We published in prior Women in the Workplace reports and/or the State of
conducted an additional seven interviews with HR leaders. We Black Women in Corporate America.
highlight case studies from two companies that have taken innovative
action in the past year to further diversity, equity, and inclusion.
PIPELINE DATA AND ANALYTICS
We grouped companies by industry to create benchmarks that provide
Overall Metrics
peer comparisons. The number of companies from each industry is as
All pipeline metrics (e.g., representation, promotion rates, hiring
follows:37,38
shares, attrition rates) were initially calculated for each participating
● Asset Management and Institutional Investors – 29 company. Company results were then averaged for each industry, and
each industry’s data was weighted by the composition of the Fortune
● Banking and Consumer Finance – 29
500 in 2019. This enabled us to avoid overemphasizing or
● Consumer Packaged Goods – 5 underemphasizing particular industries and better estimate trends
● Energy, Utilities, and Basic Materials – 15 over time based on each year’s sample of companies.
● Engineering and Industrial Manufacturing – 10
The industry breakdown of the Fortune 500 used for our weighting
● Food and Beverage Distribution – 8
was:39
● Food and Beverage Manufacturing – 13
● Healthcare Systems and Services – 20 ● Retail – 17%
● Insurance – 9 ● Energy and Basic Materials – 16%
● IT Services and Telecom – 10 ● Finance – 17%
● Media and Entertainment – 7 ● Tech – 12%
● Oil and Gas – 15 ● Healthcare – 8%
● Pharmaceutical and Medical Products – 23 ● Engineering, Automotive, and Industrial Manufacturing – 11%
● Professional and Information Services – 9 ● Food and Restaurants – 7%
● Public and Social Sector – 15 ● Media and Entertainment – 4%
● Restaurants – 12 ● Transportation, Logistics, and Infrastructure – 5%
● Retail – 9 ● Professional and Information Services – 2%
● Tech - Hardware – 21
● Tech - Software – 33 Definition of Job Levels
Companies categorized their employees into six levels based on the
● Transportation, Logistics, and Infrastructure – 5
following standard definitions, taking into account reporting structure
and salaries. The levels and definitions provided were:
Companies opted in to the study in response to invitations from
McKinsey & Company and LeanIn.Org or by indicating interest through
● L1 – Executives: CEO and direct reports to CEO, responsible for
our public website. Participation in the Employee Experience Survey
company operations and profitability (board members are not
was encouraged but optional.
included in our primary analyses unless they are also employees)
All data collection occurred between May and August 2020. Talent ● L2 – Senior vice presidents and other similar roles: Senior
pipeline data reflects representation of men and women as of leaders of the organization with significant business unit or
December 31, 2019, as well as personnel changes (e.g., due to functional oversight
promotion, hiring, attrition) during 2019. Therefore, all talent pipeline
data predates the COVID-19 crisis’ impact on the US and Canada ● L3 – Vice presidents and other similar roles: Leaders within the
workforce, and these effects are not reflected in this year’s talent organization, responsible for activities/initiatives within a sub-unit
pipeline section. of a business unit or function, or who report directly to senior vice
presidents
59 | WOMEN IN THE WORKPLACE: METHODOLOGY
Methodology
● L4 – Senior managers: Seasoned managers and contributors, conducted factor analysis to identify features in the model that were
with responsibility for multiple teams and discrete functions or truly independent. The factors were generated via a principal axis
operating units factoring method and varimax rotation on a heterogenous correlation
matrix. Multilevel logistic regression models with a random industry
● L5 – Managers: Junior managers and contributors, responsible
intercept were used to quantify the relationship between variables
for small teams and/or functional units or operations
and the outcomes of interest. Likelihood ratio tests were used to
● L6 – Entry level: Employees responsible for carrying out discrete validate the use of multilevel logistic models against a simpler
tasks and participating on teams, typically in an office or multivariate regression via a 50-50 chi-squared mixture test
corporate setting (field employees like cashiers or customer (α=0.05)40 and intra-class correlation calculations. Variable selection
service representatives are not included in our primary talent procedures were implemented to further refine the model via
pipeline analyses) additional likelihood ratio testing and comparative multilevel LASSO
regression. Model fit was assessed via two Information Criteria (AIC
Metrics and Analytics and BIC). Findings reported highlight the conditions and practices
Talent pipeline data included the representation of men and women that significantly predicted the outcome of interest (p-value <0.5) and
(overall and, optionally, by race/ethnicity). Additionally, companies had a sufficiently large effect size (OR<.75 or OR>1.3).
reported the number of men and women who were hired, promoted,
and who left the company (overall and, optionally, by race/ethnicity). Impact of Women Leaving the Workforce or Downshifting Their
Careers
Promotion and attrition rates were calculated for women and men, To consider the implications of women leaving the workforce
overall and by race, at each level. Promotion rates were calculated by disproportionately in a hypothetical “worst-case scenario,” we first
dividing the number of promotions of that gender into a level by the estimated the number of men and women employed at each level
number of employees of that gender in the level below at the start of across North America41 by applying our pipeline representation data
the year. Attrition rates were calculated by dividing the number of each to total employees in North America42,43. We then calculated the
gender who left the company at a given level by the number of number of men and women who would consider leaving the
employees of that gender in that level at start-of-year. workforce or downshifting their careers based on their responses to
the 2020 Employee Experience Survey44,45. These results were used
to show loss in representation of women in the worst-case scenario.
EMPLOYEE EXPERIENCE SURVEY AND ANALYTICS
Survey Participation Note: This methodology assumes that in the true worst-case scenario,
Forty thousand employees from 47 companies elected to participate in all employees who consider leaving the workforce will actually leave
the Employee Experience Survey. The survey questions covered the workforce, and all manager- and senior-level employees who
multiple themes (e.g., employee well-being, work flexibility, remote consider switching to a less demanding job move to
work, the state of diversity, equity, manager actions, allyship) as well as non-management positions.
demographic questions (e.g., age, sexual orientation, family status).
HR PROGRAMS AND POLICIES
Bivariate and Multivariate Statistical Reporting
Human resource professionals from 313 companies provided
Survey results were reported as an unweighted pooled average of
information on gender diversity policies and programs on behalf of
responses across companies. Many of the questions offered a
their company. We report the percentage of companies that have a
five-point, labeled response scale (e.g., “strongly disagree” to “strongly
program, policy, priority, or position out of the total number of
agree”). Unless otherwise specified, analyses aggregated the top-two
companies that submitted this type of data.
and bottom-two boxes of the response scale (e.g., “somewhat agree”
and “strongly agree”).
QUALITATIVE INTERVIEWS
Where we highlight differences between genders or other groups, we
We conducted individual interviews with 49 women and men from 13
highlight only those differences that are substantial and reliable. To
companies from a range of industries, including Banking and
that end, all differences noted in this report are statistically significant
Consumer Finance, Engineering and Industrial Manufacturing, Food &
at a 95 percent confidence level using a two-tailed test and reflect a
Beverage Distribution, Oil & Gas, Pharmaceutical and Medical
difference of at least five percentage points between two groups.
Products, and Technology. Interviewees were volunteers selected to
reflect a range of levels, functions, and demographic groups. Our
Regression Analysis
interviews focused on women’s workplace experiences in order to
We used regression analyses and factor analysis to identify the
gain a deeper understanding of the quantitative findings from the
conditions and practices most predictive of employees’ likelihood to
employee survey. Individual names, company names, and any other
consider leaving (defined as taking a leave of absence or leaving the
identifying information were kept strictly confidential and individuals
workforce entirely, excluding retiring, also referred to as “stepping
are anonymized in this report. Additionally, we interviewed seven HR
out”) or downshifting their careers (defined as reducing hours,
leaders from different sectors. Within the quotes, some identifying
switching to a less demanding job, or moving from full-time to
details may have been altered and/or withheld to protect the
part-time). For this, we selected the top questions shown to have a
speaker’s anonymity.
strong pairwise correlation with the outcomes of interest, then
60 | WOMEN IN THE WORKPLACE: ENDNOTES
Endnotes
1 McKinsey Global Institute, “COVID-19 and gender equality: Countering the regressive effects” (July 15, 2020),
https://www.mckinsey.com/featured-insights/future-of-work/covid-19-and-gender-equality-countering-the-regressive-effects; McKinsey & Company,
“COVID-19: Investing in Black lives and livelihoods” (April 14, 2020),
https://www.mckinsey.com/industries/public-and-social-sector/our-insights/covid-19-investing-in-black-lives-and-livelihoods.
Note: Throughout the Women in the Workplace study, “women of color”’ includes Black, Latina, Asian, American Indian or Alaskan Native, Native Hawaiian,
Pacific Islander, and mixed-race women. However, due to small sample sizes, reported findings on individual racial/ethnic groups are restricted to Black,
Latina, and Asian women.
3 “Leaving” or “stepping out” is defined in this report as taking a leave of absence or leaving the workforce altogether. “Downshifting” or “slowing down”
is defined as reducing work hours, moving to a part-time role, or switching to a less demanding job. There was also a “retire” option, which is not included
here and is distinct from leaving the workforce altogether.
4 Total percent of women and men per level in race and gender pipeline may not sum to overall corporate pipeline totals, as the race pipeline does not
include employees with unreported race data.
5 Full question: Since the start of the Covid-19 crisis, what have been the biggest challenges for you as an employee? [Select up to 3] | Anxiety over
layoffs and furloughs.
6 Full question: Since the start of the Covid-19 crisis, what have been the biggest challenges for you as an employee? [Select up to 3] | Responses were
selected from a list of 12 possible responses and “None of the above,” and are presented in order of frequency.
7 Full question: Which of the following has your company done in response to the Covid-19 crisis? [Select all that apply] | One or more of the following:
Increasing paid family leave, increasing paid sick time, increasing paid time off.
8 This report contains stock photographs for illustrative purposes only. Images do not reflect the identities of the women quoted. Within the quotes, some
identifying details may have been altered and/or withheld to protect the speaker’s anonymity.
9 Unless otherwise noted, Full question: Which of the following are you providing to support employees during the Covid-19 crisis? | Started providing;
Expanded existing offering; Maintained existing offering.
10 Full question: How is your company managing performance reviews during the Covid-19 crisis? | Performance reviews are still taking place with
adjusted evaluation criteria to account for challenges created by the Covid-19 crisis (30%); Employees will receive the same rating as they did in the
previous review cycle (2%); Performance reviews have been put on hold or canceled (5%).
11 Bureau of Labor Statistics, “Average hours per day parents spent caring for and helping household children as their main activity,” American Time Use
Survey (2019), https://www.bls.gov/charts/american-time-use/activity-by-parent.html; Arlie Russell Hochschild, The Second Shift: Working Parents and the
Revolution at Home (New York: Viking, 1989).
12 Restricted to heterosexual parents who live with spouses or partners that work full-time or are self-employed .
13 Restricted to heterosexual parents who live with spouses or partners that work full-time. Chart does not include respondents [fathers: 1%, mothers: 2%]
who answered, “Another person (e.g., friend, roommate, family member) was responsible for at least half of the work.”
14 Shelley J. Correll, Stephen Bernard, and In Paik, “Getting a Job: Is There a Motherhood Penalty?” American Journal of Sociology Vol. 112, no. 5 (2007):
1297–1339.
15 Heejung Chung and Tanja van der Lippe, “Flexible Working, Work-Life Balance, and Gender Equality: Introduction,” Social Indicators Research
(November 2018), https://doi.org/10.1007/s11205-018-2025-x.
16 Full question: While interacting with co-workers during the past few months, there have been times when I felt uncomfortable sharing: [Select all that
apply] | My work-life challenges; My status as a parent.
61 | WOMEN IN THE WORKPLACE: ENDNOTES
Endnotes
17 Since the start of the Covid-19 crisis, which of the following have you experienced at work? [Select all that apply] | Worry that my performance is being
judged negatively because of my caregiving responsibilities.
18 This does not include employees who only said they were considering retiring.
19 “Senior-level women” refers to women Vice Presidents, Senior Vice Presidents, and C-suite Executives.
20 Ashleigh Shelby Rosette and Robert W. Livingston, “Failure is not an option for Black women: Effects of organizational performance on leaders with
single versus dual-subordinate identities,” Journal of Experimental Social Psychology 48, no. 5 (2012): 1162–1167; Victoria L. Brescoll, Erica Dawson, and
Eric Luis Uhlmann, “Hard won and easily lost: The fragile status of leaders in gender-stereotype-incongruent occupations,” Psychological Science 21, no. 11
(2010): 1640–1642.
21 McKinsey & Company, “Diversity wins: How inclusion matters” (May 19, 2020),
https://www.mckinsey.com/~/media/McKinsey/Featured%20Insights/Diversity%20and%20Inclusion/Diversity%20wins%20How%20inclusion%20matters/Di
versity-wins-How-inclusion-matters-vF.pdf.
22 Paul Ingram and Tal Simons, “Institutional and Resource Dependence Determinants of Responsiveness to Work-Family Issues,” The Academy of
Management Journal 38, no. 5 (1995): 1466–82, http://www.jstor.org/stable/256866?seq=1#page_scan_tab_contents.
23 Findings in this section on the historical experiences of Black women in corporate workplaces are primarily derived from previous Women in the
Workplace reports, and can be found in the 2020 State of Black Women in Corporate America report.
24 “Recent racial violence” refers to incidents of violence against Black Americans committed by law enforcement officers in early 2020, prior to the
survey’s distribution in June–August 2020.
25 Full question: How much do you agree with the following statements? I feel I can bring my whole self to work. | I have strong allies on my team (i.e.,
people who use their power to advocate for people with less power). | Somewhat/strongly disagree.
26 Full question: While interacting with co-workers during the past few months, there have been times when I felt uncomfortable sharing | My thoughts
about racial inequity; My experience of grief or loss.
27 Full question: Since the start of the Covid-19 crisis, which of the following have you experienced at work? | Feeling like I can’t talk about the impact
current events are having on me or people in my community.
28 Disabilities include both visible disabilities (e.g., mobility impairments) and invisible disabilities (e.g., chronic health conditions).
29 Roy BL Sijbom, Jonas WB Lang, and Frederik Anseel, “Leaders’ achievement goals predict employee burnout above and beyond employees’ own
achievement goals,” Journal of Personality 87, no. 3 (2019): 702–714, https://onlinelibrary.wiley.com/doi/full/10.1111/jopy.12427.
30 The favorability rate is calculated by the number of people who selected “Strongly Agree” or “Agree” divided by the total number of employees who
responded to the survey.
31 Joan C. Williams and Rachel Dempsey, What Works for Women at Work; Shelley J. Correll et al., “Getting a Job: Is There a Motherhood Penalty?”;
Heejung Chung and Tanja van der Lippe, “Flexible Working, Work-Life Balance, and Gender Equality: Introduction.”
32 Linjuan Rita Men et al., “‘Vision, passion, and care:’ The impact of charismatic executive leadership communication on employee trust and support for
organizational change,” Public Relations Review 46, No. 3 (September 2020), https://www.sciencedirect.com/science/article/abs/pii/S0363811120300540.
33 Sangeeta Badal, “The Business Benefits of Gender Diversity,” Gallup (January 20, 2014),
https://www.gallup.com/workplace/236543/business-benefits-gender-diversity.aspx; Katherine W. Phillips, “How Diversity Makes Us Smarter,” Scientific
American (October 1, 2014), https://www.scientificamerican.com/article/how-diversity-makes-us-smarter.
34 Full question for companies: In response to the Covid-19 crisis, which of the following has your company instructed managers to do? | Take steps to
ensure that mothers’ work-life needs are being met, Take steps to ensure that fathers’ work/life needs are being met. In this instance, percentage of
employees is restricted to responses from parents.
62 | WOMEN IN THE WORKPLACE: ENDNOTES
Endnotes
35 Full question: What percentage of employees do you expect to be regularly working remotely (i.e., a majority or all of the time) a year from now? |
21%–50% of employees; 51%–90% of employees; Almost all employees.
36 Due to small sample sizes, all women identifying as lesbian, bisexual, pansexual, otherwise non-heterosexual, and/or transgender were analyzed and
reported in a single category as LGBTQ+ women.
37 297 organizations submitted pipeline data. Overall weighted pipeline is based on 284 private sector firms and does not include public and social
sector organizations or law firms.
38 Select industries, especially those disproportionately affected by Covid-19, saw a significant change in participation rates from years past. As a result,
participant composition in 2020 in these select industries is not directly comparable to years past: Consumer Packaged Goods; Engineering and Industrial
Manufacturing; Food and Beverage Distribution; Healthcare Systems & Services; Media and Entertainment; Public and Social Sector; Retail; and
Transportation, Logistics, and Infrastructure.
40 Daniel O. Stram, and Jae Won Lee. “Variance components testing in the longitudinal mixed effects model,” Biometrics (1994): 1171–1177.
42 Source: United States - Bureau of Labor Statistics: Employed persons by occupation, sex, and age; Canada - Statistics Canada. Table 14-10-0202-01
Employment by industry, annual.
44 Responses to Q35 are “Taking a leave of absence” OR “Leaving the workforce altogether” OR “Switching to a less demanding job” OR “Reducing
work hours” OR “Moving from a full-time role into a part-time role.”
45 Loss in number of women overall was calculated based on those who considered “Taking a leave of absence” OR “Leaving the workforce altogether.”
For loss in representation of senior women and managers, we also included those who had considered “Switching to a less demanding job.”