by Aoife Flood, Marthle du Plessis, and Serafine Vandebuerie
When it comes to education and careers in science, technology, engineering and mathematics (STEM), women remain in a minority – by a wide margin. Less than one-third of tech sector employees globally are women, a proportion that drops to just 22% for artificial intelligence (AI) workers. Equally worrying, women account for only 28% of engineering graduates. Why does this matter? For several reasons. Faster progress towards more equal representation in STEM fields is critical to women’s participation in shaping emerging technologies and their ever-expanding impact on the world. It’s also a vital factor in empowering women to access fast-growing and high-paying careers – an area where inequality is further compounded by the fact that as digital innovation continues to disrupt industries, women stand to suffer a greater impact from job losses.
Going forward, the gender imbalance within the tech workforce will also act as a constraint on innovation, growth and the wellbeing of humanity – all at a critical time for business, society and economies, when more tech workers are urgently needed. However, it’s not all doom and gloom. The good – and perhaps surprising – news from our #InclusionMatters research is that despite working in a male-dominated sector, women working in tech are the group of employees who feel the strongest impacts of workplace inclusion when compared with women across 25 other industries.
To quantify this effect, we developed a Workplace Inclusion Indicator Index measuring the key inclusion dimensions of inclusive-decision making, belonging, and fairness at work. The results of this index revealed that women in tech have the highest inclusion score for men or women across all the industries assessed in our research. Tech is also one of only four industries for which women have slightly higher inclusion scores than men.
Our research shows the tech sector stands apart in other ways too. Compared to women respondents across all sectors, those working in tech are 18 percentage points more likely to ask for a promotion. Even more striking, women working in tech are one percentage point more likely to ask for a promotion compared to men in the sector – a finding that’s in stark contrast to a negative gap of nine percentage points between the average scores for women and men working in all sectors globally. Women in tech also have higher job satisfaction scores than men in their sector, at 66% compared with 63%.
Overall, as shown in the table below, women in tech score significantly higher on several key measures than the global cross-sector results for women. However, our findings are not entirely positive for tech employers: for example, women in tech are six percentage points more likely than the global average to say they plan to change employer in the next 12 months.
Perhaps unsurprisingly, these differences are also reflected in how women in tech view and plan their careers. Our #InclusionMatters research highlights that they are much more likely than women in other industries to be focused on building their own careers by way of actively seeking out opportunities to learn and develop new skills (65% compared to 57%), and to be requesting feedback to use in enhancing their own performance (62% compared to 52%).
This year's #InclusionMatters findings are especially striking, coming on the back of a period when many tech firms instituted cost-cutting, hiring freezes and headcount reduction measures in response to the challenges of a slowing global economy and aggressive over-hiring during the pandemic. Furthermore, our findings might seem to run counter to research specific to the tech industry, which highlights many prevailing challenges faced by women working in the sector.
So, what are the main drivers behind these results? First, some relevant context. This research is broad, providing a cross-industry lens – and in doing so it presents a positive picture of the experience of women working in tech compared with the female workforce generally. Furthermore, the inclusion scores of both men and women tend to increase in line with the seniority of their role, and the men and women working in the tech industry in our survey had higher representation at senior executive and management levels than our respondents overall. However, while this may have influenced the results to a degree, a closer analysis shows that women in non-management, management, and senior executive levels in tech still achieved higher inclusion scores than the women at the same levels across industries.
Alongside these considerations, there are also a number of industry characteristics and workforce trends within the tech sector that we can justifiably deduce are having a positive impact on women’s experiences at work. For example, the one constant in technology is change – and this provides for a continuous learning environment that’s both natural and required across the industry. Furthermore, tech as an industry provides access to interesting work and highly-paid jobs. And the tech giants have led the way in investing heavily in employee experience. All of these factors have the clear potential to be helping to shape these results.
A further potentially relevant development is that many large companies in the tech sector have invested in extensive and ambitious Inclusion and Diversity programmes. By way of example, take the way in which the tech giants have been in the forefront of setting public goals for gender and broader diversity. They’ve also been transparent about their performance in this area, reporting annually on their representation of women and progress against diversity goals – and being open about instances when that progress is not as fast as they would like.
Other staple items in large technology firms' diversity programmes include wide-scale unconscious bias training, which is often combined with women’s leadership development programmes both to foster executive-level readiness and prepare women for the next stage at management levels. Some tech companies specifically engage men in their efforts to improve gender diversity, through initiatives such as male-focused allyship programmes and generous parental leave policies open to both mothers and fathers. These are part of tech firms’ drive to establish more inclusive policies generally, while also mitigating for many of the gender stereotypes and challenges that women often face associated with caring-giving breaks and responsibilities.
Many tech firms also make active, early and targeted efforts to bring more women into their workforce, in addition to partnering with not-for-profit organisations to attract more girls to take up technology-related academic disciplines and build early skills development in areas such as coding. Further trends in the sector include women-focused events and conferences geared towards community building and supporting the development of key expertise – in addition to recruitment events specifically targeted at women, and the establishment of Employee Resource Groups focused on women and a far broader range of diversity identities.
What’s clear overall is that there’s a strong and extensive focus on improving Inclusion and Diversity in tech, fuelled by the existing gender (and broader diversity) representation gaps and intensifying talent shortages, particularly around emerging technologies. The effects of these factors are supplemented by the heightened awareness of the impact of unconscious bias in AI and product development, along with an increased understanding of accessibility needs in product design and of the benefits that diversity brings in terms of spurring innovation.
Meanwhile, the sector-wide cost-cutting and headcount reductions that we noted earlier have inevitably had an impact on companies’ headcounts and budgets focused on Inclusion and Diversity. So there’s still a pressing need for the tech industry to accelerate its efforts to close the gender representation gap – and at the same time make sure that the hard-won gains already made are not lost.
Particularly at a time when 31% of women in tech say they’re likely to change employers in the next 12 months, labour market forces are likely a factor here, given tech skills are in demand not just in their own industry but in all sectors. Even with some big players shrinking their workforce, highly skilled tech employees still have more job options right now than workers in other industries. This, combined with the tech industry’s trend towards setting public representation goals, means the fight for female talent with tech skills is very real. As businesses continue to evolve and respond to the impacts of digital disruption, it will be critical that their diversity efforts also include a “women in tech” angle. Indeed, we’re already seeing a growing move across many sectors towards setting up Women in Tech Networks, as has happened here at PwC.
Certainly, attracting girls and women to pursue tech academic disciplines and work in the sector remains a major challenge for the technology industry. But taken together, PwC’s #InclusionMatters research combined with last year’s #EmpoweringWomen research findings do provide many encouraging insights that can be applied to help amplify the advantages for women of working in tech or digitally-focused roles. Put simply, our research suggests that women working in tech feel greater levels of inclusion and empowerment at work, a finding that bodes well both for the industry and women generally. Yet the fact remains that tech firms still need to do more to close the gender representation and equity gaps.
It is also important to recognise that the gender representation gaps in STEM are not just a problem for the tech industry to solve. In today's world, millions of young women are still excluded from the workforce because they don’t have the means to pursue the appropriate levels of education or the opportunities to develop adequate technical or digital skills. True, we are seeing progress in private, public, and civil society stakeholders working together to bridge the gender and digital divide, such as PwC’s strategic upskilling collaboration with UNICEF and GenU. But much more needs to be done to increase exposure and upskilling to the tech industry and the associated opportunities they provide for women. In summary, everyone has a role to play in the call for action on gender equity, including when it comes to women in tech.
Last updated on 7 March 2024.
Explore research based insights on workplace inclusion, and its specific impacts on women at work.
At PwC, our Inclusion First strategy is for our people, our clients and our world. Learn more about our approach to Inclusion and Diversity.