1. Introduction
1. A 2023 report by the World
Bank entitled “Women, Business and the Law”

shows that “women, on average, enjoy barely
77% of the legal rights that men do”. 2.4 billion women in the world
do not have the same economic rights as men, a situation exacerbated
in the current context of growing economic difficulties, where the
“geopolitical tensions and the fragmenting of world trade are threatening
to roll back decades of advances in women’s economic empowerment”.

2. Among many other experts in economic matters, the European
Investment Bank has expressed well the missed opportunities for
the whole of society represented by this long-standing failure to
use fully the skills and capacities of women, for instance in the
crucial area of climate change: “The economic influence of women, who
control or significantly influence 85% of consumer spending, underscores
the vast growth potential in adopting gender-responsive strategies.
Women also possess unique knowledge and innovative approaches that
can contribute significantly to climate resilience and mitigation
efforts.”

3. Despite all the expert evidence, conclusions and simple facts,
the still ongoing negative impacts and fallout from recent crises,
including the global Covid-19 pandemic and the economic consequences
of the conflicts in and outside Europe, have shown the fragility
of progress towards gender equality and how much remains to be done.
This is particularly evident with respect to the persisting imbalance
of care responsibilities, still assumed mainly by women both in
the home and in institutions, and the lack of financial recognition
for this type of work. So, as well as progress being slow, there
is a real risk of backsliding, especially in the current context.
Discrimination against women is present throughout women’s lives,
wherever they live and whatever their social position. In the economy
this is manifest through persistent pay and pension gaps – more
time spent in carer roles implies shorter careers and employment
in care is seriously undervalued.
2. Work in the Parliamentary Assembly
on women’s economic empowerment and scope of the report
4. The Assembly last addressed
the subject of women’s place in the economy in 2018, with a report
entitled “Empowering women in the economy” which led to Resolution
2235 (2018). The rapporteur, Ms Elena Centemero (Italy, EPP/CD),
identified main areas requiring action (gender pay gaps leading
to pension gaps, difficulties in accessing employment, slower career
progression, gender segmentation, glass ceilings) and stressed the
fact that “equality between women and men in the economy is a precondition
for advances in other spheres, including public and political life”,
a statement with which I totally agree.
5. In 2022 a questionnaire was addressed to national parliaments
via the European Centre for Parliamentary Research and Documentation
(ECPRD) on national legislation and policies supporting women’s economic
empowerment, focusing on women in their different roles in the economy,
as employees or self-employed workers, entrepreneurs or managers.
The main aim of the survey was to gain an overview of existing measures
that have proved successful or have a positive impact on women's
economic empowerment, against a background of widely varying levels
of gender equality across Council of Europe member States.

6. The over 30 replies reported on many policies and practices
– a first conclusion is that if all measures highlighted were implemented,
women would have been on an equal economic footing many years ago! Another
observation is that many countries have introduced some form of
gender-responsive budgeting into their processes, and for some this
has been the case for a long time. Another very positive recent
development has been the extension of parental leave for both parents,
allowing women to ensure better continuity in employment. The extensive
replies also contain valuable information on the mechanisms designed
to introduce equal pay and transparency in remuneration, and on
how women with intersectional backgrounds, especially national or
other minorities, are taken into account. Funding for micro-projects
and start-ups led by women, and incentives for women’s participation
in boards of administrators were also among frequently reported measures.
7. On 15 September 2023, the Committee on Equality and Non-Discrimination
held an exchange of views with Ms Valérie Frey, Senior Economist
at the Social Policy Division of the Directorate for Employment,
Labour and Social Affairs, Organisation for Economic Co-operation
and Development (OECD), who provided a useful overview of the situation
in OECD member States – largely reflected in those of the Council
of Europe.
8. I was part of the ad hoc sub-committee
of the Committee on Equality and Non-Discrimination to participate
in the UN Women’s annual Commission on the Status of Women in New
York from 11 to 13 March 2024 (CSW68). Its theme, “Accelerating
the achievement of gender equality and the empowerment of all women
and girls by addressing poverty and strengthening institutions and
financing with a gender perspective”, was very relevant to this
report: I had the opportunity to speak at the side-event entitled
“Parliamentarians as drivers for women’s empowerment.”
9. On 14 and 15 May 2024, I carried out a fact-finding visit
to London where I met with members of parliament, government officials
dealing with equality matters, academics and civil society representatives working
to promote women’s participation in the economy. I would like to
thank the secretariat of the UK delegation for their valuable help
in organising these highly relevant meetings: the information I
gathered during my visit features as a case study in chapter 5 of
the present report.
10. As a last contribution, the Committee on Equality and Non-Discrimination
held an exchange of views during a meeting in Tirana on 5 June 2024,
with the participation of Ms Delina Ibrahimaj, Minister of State
for Entrepreneurship of Albania, Ms Milva Ekonomi, Member of the
Committee on Economy and Finance of the Albanian Parliament, Ms Emiriana
Sako, Mayor of Durrës, Ms Jonida Halili, Vice-mayor of Tirana and Mr Emanuel
Salinas, World Bank Country
Manager for Albania. The speakers gave an interesting close-up of the
situation in a country where women have reached a high level of
political equality.
3. Existing
economic gender inequalities and the urgent need to address them
11. Gender equality obviously implies
equal rights for women and men, and equal distribution of resources between
women and men is an important dimension of these rights. Matters
of economy are not within the direct remit of the Council of Europe’s
work, but there is an acute awareness of the importance of economic empowerment
for women, in particular in the current context. For instance, the
Gender Equality Strategy 2024-2029 adopted by the Committee of Ministers
in March 2024 states in its introduction that “In a context of growing
economic difficulties following the Covid-19 pandemic, Russia’s
war of aggression against Ukraine, the triple planetary crisis of
pollution, climate change and biodiversity loss, certain negative
effects of technological and digital developments, austerity policies
and measures, political uncertainties and rising inequalities at
all levels of society, it is crucial to address the human, social
and economic aspects of gender inequality.” The text continues by
stating that “Due attention must also be paid to securing or improving women’s
economic independence, including by redressing the gender pay gap,
and striving for equality between women and men in relation to unpaid
care and domestic work.”

3.1. Women’s
lesser share in the labour market
12. It is therefore more necessary
now than ever to counter gender inequalities in the economy and recognise
the significant further potential of women’s contribution, which
whilst achieving a more balanced presence of the whole of society
in the economy would yield better economic results overall. The
World Bank has stated that “closing the gender employment gap could
raise long-term GDP per capita by nearly 20% on average across countries.
Studies estimate global economic gains of $5-6 trillion if women
started and scaled new businesses at the same rate as men do”,

showing clearly that
women’s full economic empowerment would have positive effects for
the whole of society.
13. At the hearing on 15 September 2023, Ms Frey confirmed that
economic empowerment was all the more challenging for women in the
present context. The OECD’s latest report “Joining Forces for Gender
Equality – Horizontal work on women’s economic empowerment” was
an analysis of progress with the OECD’s recommendations on gender
equality in education, employment and entrepreneurship and on equality
in public life. The study had innovated in bringing together many
different sectors of the organisation not involved until now. It
also included the results of surveys of countries, for instance
on issues perceived as the main hindrance to gender equality, where
ending violence against women was seen by member States as the biggest
obstacle, but this did not seem to lead to policy development, since
healthcare, justice, housing, etc., were not a subject for co-ordinated
policy in member States.
14. According to the study, overall, 58% of women worked in member
States, against 73% of men. Women were thus less likely to be in
the labour force, and less likely to be able to commit to working
hours, which were five less per week than those of men (due to work
in and around the home). This was obvious from the widening of the
gap during childcare years. Only one-third of managerial posts were
held by women.
3.2. The
negative impact of intersectionality
15. In 2015, the United Nations
(UN) adopted its 2030 Agenda for Sustainable Development with 17 Sustainable
Development Goals (SDGs), pledging to ensure that “no one will be
left behind” and to “endeavour to reach the furthest behind first.”
SDG No. 8 concerns decent work and economic growth, and women are
singled out as the targets of discrimination in the workplace. Despite
anti-discrimination laws, individuals from diverse groups continue
to face structural discrimination and barriers in joining and remaining in
the labour market, and women are proportionally more affected. Some
women are structurally underrepresented in the labour market, often
due to the intersection of gender with additional conditions of vulnerability
or marginalisation, such as belonging to an ethnic or religious
minority or having a migrant background.

16. Women are a heterogeneous group and may face intersectional
and multiple discrimination based on several personal characteristics.
For instance, the UN Human Rights Council (UNHRC) addresses the
often-neglected issue of discrimination against Muslim women in
the labour market, documenting the disproportionate impact of anti-Muslim
racism on Muslim women.

Research cited
by UNHRC found that Muslim women are three times more likely to
be unemployed than women generally in Europe, due to a “triple penalty”
impacting their job prospects: being women, being from an ethnic
minority group, and being Muslim.

These
findings are reinforced by reports of Muslim women being fired from
their jobs for refusing to take off their headscarves.
17. It is thus vital that the Council of Europe member States
develop and implement laws and policies to address various forms
of discrimination and inequality that intersect with and compound
gender inequalities in the economy. Gender equality policies in
the labour market should respond to specific needs and unique challenges
of women and girls from diverse groups and disadvantaged backgrounds,
including single mothers, pregnant women, women with disabilities,
women from minority groups, and women from rural areas, to ensure their
equal access to economic opportunities. Strong and efficient measures
are needed to reform and strengthen the enforcement of anti-discrimination
laws and sanction racism, and all forms of intolerance and discrimination
that affect women's economic participation.
18. Intersectionality may also be the source of new forms of discrimination,
as examined by the European Commission Against Racism and Intolerance
(ECRI) in a study entitled “Discrimination, artificial intelligence and
algorithmic decision-making”. According to the authors, “Public
sector bodies can use AI [artificial intelligence] for predictive
policing for example, or for making decisions on eligibility for
pension payments, housing assistance or unemployment benefits. In
the private sector, AI can be used to select job applicants, and
banks can use AI to decide whether to grant individual consumers
credit and set interest rates for them.”

The
study makes recommendations on how to address discrimination by
AI and automated decision making (ADM) systems through tools such
as data protection and sectorial regulation in employment laws.
3.3. Pay
gaps and unequal career progression
19. Gender pay gaps also persist
– in full-time work, women earn 12% less than men in OECD countries,
in comparison with 19% in 1995 (the gap widens for part-time employment).
There are four main reasons for these gaps: unpaid work, discrimination,
vertical gender segregation, and horizontal segregation (job sectors). It
is a fact that girls perform better than boys in maths at school,
but are still a minority in maths-related jobs. And there is even
less movement of boys into “female” jobs.
20. The American research company McInsey published an interesting
study in 2023 on current trends in women’s economic progress,

which contradicts some accepted
concepts such as the “glass ceiling” purported to be stopping women
from reaching leadership positions. According to the study, this
phenomenon may have been a reality in the past, but from experience
gathered in particular by interviews, the most difficult barrier
to cross is the first step – what the authors call “the broken rung”,
i.e. the very first step up into a managerial position. This is
observed to be all the more obvious when women have an intersectional background.
21. The Gender Equality Index of the European Institute for Gender
Equality (EIGE) (see footnote 6 above) points to markers of equality
where the most progress has been observed, and to others where there
has been little or no improvement, or even regression. According
to the 2023 Index, gender inequalities are most pronounced in the
area of “power”, despite recent improvements, with setbacks noted
in eight countries compared with the last survey. Economic decision
making, one of the subdivisions of this category, scores second
lowest across the European Union, albeit with a slight improvement
since 2020. The domain of “money” (financial resources and women’s
and men’s economic situation) ranks second highest in equality in
the index, but a backsliding is observed in economic situations
since 2020 due to the Covid-19 pandemic, which also indicates potentially
long-lasting consequences for gender inequalities in income, as
women’s financial resources have remained static.
3.4. The
links between gender-based violence and women’s equal participation
in the economy
22. The abovementioned McInsey
study points to the presence of gender-based violence in the workplace directed
at women in the form of “microaggressions”. These have often been
ignored to a large extent in policies and measures to guarantee
equality, although they contribute to dissuading women from advancing
in employment, or to changing women’s professional attitude in order
to be either more conforming to perceived norms or to replicate
the same way of interacting. Thus, their impact on careers is considerable.
23. McInsey finds from its research that women are 1.5 to 2 times
more likely to experience a microaggression than men. These can
range from “being mistaken” for someone else – of the same or similar race,
colour or even gender, or with the same hair, for instance – to
managers not supporting or defending the work of a female team member.
These small humiliations taken individually can pass “below the
radar” of behaviours defined as violent or aggressive. But when
they form a succession of multiple microaggressions on a daily basis,
women are 3.3 times more likely to consider leaving their organisation
and 4.2 times more likely to feel burned out.
24. Unconscious gender bias is another obstacle for women, in
particular as regards recruitment, and can also be seen as a form
of aggression or violence against them. The language used in job
descriptions, the evaluation of candidates, and final hiring selections
are still subject to this bias, where women trigger conscious or
unconscious assumptions that they may be less competent in technical
roles or leadership. Masculine wording in job advertisements, like
"assertive" and "dominant", can also discourage women from applying
for instance.
25. Article 1 of the Council of Europe Convention on preventing
and combating violence against women and domestic violence (CETS
No. 210) states that the purpose of the convention is, inter alia, to “protect women against
all forms of violence” and “contribute to the elimination of all
forms of discrimination against women and promote substantive equality
between women and men, including by empowering women”. Legislation
and policies to prevent and protect women against violence should
take more account of violence in the workplace and recognise the
need to monitor closely its effects.
4. Gender-responsive
budgeting: an effective tool for promoting gender equality and fostering inclusive
economic development and growth
26. Budgets are one of the most
powerful policy instruments a government can use. They shape a country's overall
income and employment levels while also revealing its political
priorities. Though the figures in budget documents may seem gender-neutral,
research shows that spending patterns and revenue generation affect women
and girls differently than men and boys, often disadvantaging the
former. This disparity arises from the socially defined roles of
women and men, the gendered division of labour, varying responsibilities
and capacities, and the distinct challenges each group faces. As
a result, women often find themselves in a less favourable position
compared to men, with reduced economic, social and political power.
27. Gender budgeting, also referred to as gender-responsive budgeting,

is a useful
tool for promoting social change, gender equality and women’s empowerment.
Originally developed in Australia in the 1980s,

this
approach to budgeting has since been replicated in more than 100
countries around the world.

It then gained
new momentum in the 1990s, thanks to the United Nations 1995 “Beijing
Platform for Action”, which recommended that women’s needs be taken
more seriously into account in the elaboration of economic programmes
and policies.

4.1. What
is gender-responsive budgeting?
28. Gender-responsive budgeting
(GRB) is a policy approach that aims to integrate a gender perspective
in the policy-making process, thus ensuring that government budgets,
policies and programmes pay specific attention to the needs and
priorities of women. In other words, as highlighted by the Council
of Europe as early as 2005,

it is an application of gender
mainstreaming in the budgetary process. It involves conducting a gender-based
assessment of budgets and incorporating a gender perspective, at
all stages of the budgeting and planning processes.
29. EIGE defines GRB as a strategy to achieve gender equality
through the proper collection and allocation of public resources,
and it highlights that the purpose of GRB is threefold: to promote
accountability and transparency in fiscal planning; to increase
gender-responsive participation in the budgetary process, for example
by undertaking steps to involve women and men equally in budget
preparation; and to advance gender equality and women’s rights.
Another definition, provided by UN Women, indicates that GRB helps
to promote gender-responsive policies and to better distribute public
resources, by ensuring that their allocation is carried out in ways
that are effective and contribute to advancing gender equality and
women’s empowerment.
30. GRB seeks to integrate gender considerations into public financial
processes. This approach ultimately leads to the creation of gender-responsive
budgets. These are not distinct budgets for women, but rather inclusive
budgets that are designed, approved, implemented, monitored, and
audited with attention to gender differences.
31. A GRB approach needs to be introduced at central government
level, but also at regional and local levels. This is relevant since
local and regional governments not only contribute to implementing
the priorities set by the central level, but they also possess direct
knowledge of the situation of women and men locally and have the
ability to identify and address inequalities.
32. The design and implementation of GRB policies should abide
by certain principles,

the first
being the accountability of governments. As “a mechanism for establishing
whether a Government’s gender equality commitments translate into
budgetary commitments”,

GRB
holds governments accountable for their gender policy commitments.
The second critical principle is transparency, which is obtained
by increasing participation of women and men in the budgetary process.
33. Other keystones of the GRB approach are performance and results
orientation, and effectiveness. This budgeting approach helps to
better assess the effects of allocation and the impact of expenditures
on women and men. It thus provides valuable data and a strong basis
for an evidence-based decision-making process. While achieving certain
goals may require additional resources, the issue in some cases
is not simply about increasing funds, but reallocating resources
to different activities or improving co-ordination across sectors. Implementation
of GRB therefore enhances the efficiency of public spending through
gender analysis.
34. GRB is a relevant monitoring tool, as it helps to track the
allocation of resources, identify problems in implementation, and
assess the effectiveness of policies in tackling gender-based inequalities.
Furthermore, it provides a framework to include other stakeholders
and civil society in the process of drafting new policies and adopting
new measures to improve gender-responsiveness in budget planning.
35. In addition, GRB explicitly takes into account the unpaid
care work which all over the world is undertaken primarily by women.
The care economy would otherwise remain invisible despite its importance
for the functioning of the market economy.
36. Today, gender-responsiveness plays an important part in the
budget-making process at the domestic level in Europe,

although
its full potential is yet to be fully realised. Some member States
have already integrated GRB into their policy-making process, whether
in specific policy areas, or more broadly.
4.2. Examples
of gender-responsive budgeting at different stages of implementation
37. A number of countries have
enshrined the principle of equality, including gender equality,
in their constitution. The Austrian Constitution goes further, as
its Article 13 specifically refers to GRB, stating that the “Federation,
the States and the Communes strive for the effective equality of
women and men in their budget management.” Article 51 also mentions
reaching real equality between women and men among the objectives of
the budget management of the Federation. GRB was introduced in the
country as part of the broader budgetary reform process from 2007,
and its inclusion in the constitution made it a budgetary principle
at all levels of government. The goal of gender equality is indicated
in each chapter of the budget. According to the OECD review of the
GRB system in Austria, the overall systemic approach to GRB, designed
to require all ministries to consider gender equality in high-level
goal setting and in more detailed specification of outputs and objectives,
is a leading international practice.
38. In Belgium, in 2007, the national parliament passed the “Gender
mainstreaming law”

which requires
a gender-based dimension in all federal policies, including budget
policies. This law binds the ministries of each government to link
gender-based objectives to the budget programs. It also stipulates
that the budget should be discussed in parliament for a greater
integration of gender equality measures and actions. The Belgian
law also contains provisions on the collection of gender-disaggregated
data, and the use of this data for a better evaluation of policies’
differential impact on women and men through a “gender test”.

39. Sweden’s GRB approach has also proven fruitful. Since 2014,
the government has committed to effectively implementing GRB in
the country, in accordance with the previous efforts to mainstream
a gender perspective in its budgetary processes and policies. The
“Plan For Gender Mainstreaming 2004-2009” introduced the principle
that GRB was to become part of the regular work of gender mainstreaming.
The aim of this plan was to integrate a gender-based analysis into
the two main decision-making processes (legislative process and
budgetary process). In addition, since 2016, the annual budget guidelines
include instructions on how to apply GRB throughout the budgetary
process. In Sweden too, gender-disaggregated data collection has been
widely used since 2006, which has led to identifying new gender
equality indicators.
40. GRB was introduced in Spain in 2008 and there is a legal obligation
to conduct
ex-ante gender assessments
in all government regulations. In addition, the autonomous region
of Andalusia offers an interesting and advanced implementation of
GRB since 2003. The regional budget presented to the parliament is
required to contain a Gender Impact Report, and the Gender Impact
Commission (an interdepartmental co-ordinating body composed equally
of women and men) which was created within the Ministry of Finance oversees
the execution and approval of the Gender Impact Report.

The
government has made significant progress in the collection and management
of sex-disaggregated and gender-relevant data, to the extent that in
2015, 50% of those in charge of budgets were trained in the use
of sex-disaggregated data.
41. Türkiye has made significant progress in relation to GRB in
the recent years. The Committee on Equal Opportunities for Women
and Men of the Turkish Parliament established a sub-committee on
GRB in 2012, which resulted in the inclusion of GRB in all development
programmes of the central government since 2014. The 12th Development
Plan of Türkiye (2024-2028) explicitly emphasises the importance
of integrating GRB into public finance management practices. Central
and local budgeting guidance documents also highlight the need for
adopting GRB approaches in planning and budgeting processes. GRB
is one of the assessment criteria for investments proposed in the
sectors of education, health, employment, and social inclusion.
As a result, the number of indicators on women's empowerment in
central government budget programs increased year by year. Türkiye
is working to sustain this progress through the “Implementing Gender-Responsive Planning
and Budgeting in Turkey Project”, run by UN Women Türkiye in co-operation
with the Ministry of Family and Social Services and the Presidency
of Strategy and Budget since 2020, with the overall goal of strengthening
gender equality through the integration of gender perspective at
all stages of national and local policy making and budgeting processes.

4.3. Pillars
of gender-responsive budgeting
42. For effective and sustainable
design and implementation, international organisations such as the
OECD and the Council of Europe recommend that the GRB approach should
be based on the following pillars: institutional and strategic arrangements,
methods and tools, enabling environment, accountability and transparency,
and impact.

43. GRB efforts require political commitment, strong leadership
and clarity regarding the roles and responsibilities of various
actors across the government to ensure that a well-co-ordinated
whole-of-government approach is in place. GRB is most effective
where it is embedded in the legal framework, budgeting process and
relevant budgetary documents, applied at national, regional and
local levels, and guided by a national gender equality strategy
outlining overarching gender goals. Institutionalising GRB through
a strong legal framework and clear institutional arrangements ensures
that its practice induces changes in political and economic priorities.
44. To successfully implement GRB, a variety of analytical tools
should be applied throughout the budgetary process. The OECD typology
classifies these tools based on the stage of the budgetary process
in which they may be used, and distinguishes GRB approaches into
three categories:
ex ante,
concurrent, and
ex-post.

45. The
ex-ante approach
involves analysing new budget measures before the budget proposal
is submitted to parliament. This analysis, along with an assessment
of key gender gaps across policy areas, ensures a gender perspective
in resource allocation and leads to budget proposals designed to
close priority gender equality gaps. The concurrent approach sets
gender-related performance targets and makes financial allocation
decisions during the budget approval phase. Finally,
ex post approach, applied after
the budget has been spent, conducts a post-allocation audit of spending
to assess whether the budget measures achieved their intended goals
in improving gender equality.

46. An advanced approach to GRB incorporates a gender perspective
at every stage of the budget cycle, from planning and approval to
evaluation, ensuring that various GRB tools and approaches are applied together
to restructure revenues and expenditures in line with analytical
findings, thereby improving the effectiveness of budget policy in
meeting gender equality goals. Recommended for all Council of Europe member
States, requirements such as gender impact assessments and other
GRB tools, transparency in results and accountability help to counter
typical challenges to successful implementation, such as the lack
of political support, the failure to provide technical expertise
and data, and the difficulties in involving stakeholders.

47. GRB will be most effective where there is a supportive enabling
environment. This includes training and capacity development for
government staff, structured engagement with civil society and trade
unions, oversight by accountability institutions such as parliament
and the supreme audit institute, as well as co-operation and exchange
of good practice with international organisations and institutions.
48. In 2022, UN Women published an “Action Kit – Engaging parliaments
in Gender Responsive Budgeting”,

targeting “actors
who want to build an effective system for integrating GRB into the
annual state budgetary process. This will include Members of Parliament
(MP), parliamentary staff and committees, caucuses of women MPs,
as well as other actors [...] who may want to initiate and support
a stronger role for parliament and MPs in GRB”.

The
Action Kit’s aim is to strengthen parliaments’ ability to “conduct
budget analysis from a gender perspective, and public engagement
and evidence-based analysis by oversight committees and building
partnerships between parliaments and other oversight actors”.

The
kit includes examples of successful GRB implementation at domestic
level, a description of the fundamental processes needed to implement
a gender-responsive public financial management system, and some
quick tips and entry points for parliamentary engagement.
49. In addition, public authorities should use monitoring tools
to measure the progress achieved through GRB policies. To this end,
gender-specific data should be regularly collected and updated to
identify gender equality gaps, as well as failures in the implementation
of gender-responsive policies.
4.4. Overall
Analysis of gender-responsive budgeting practices in Council of
Europe member States
50. There is broad consensus on
the important role GRB plays in closing gender gaps and promoting
gender equality. However, GRB is used less widely than expected
in Council of Europe member States and its potential benefits are
largely underutilised.

In
the European Union, only 12 countries actively implement GRB. Nine
countries neither practice GRB nor consider introducing it, since
they view their gender equality policy as sufficient. The remaining
three countries are currently discussing or piloting its introduction.

GRB
is increasingly practiced in OECD member countries and is now a
budgeting tool used to help close gender gaps in 61% of member countries.

51. The Council of Europe member States that have introduced GRB
are at different stages in its implementation. Some are using pilot
projects to monitor its effects, while others have already integrated
it into their annual budget procedure over a longer period. Legal
requirements, institutional set-ups, methodological approaches,
analytical tools, level of government involved and the structure
of responsibility for GRB vary significantly.

Countries at more
advanced stages are now trying to improve the implementation, data collection
and documentation, increase the number of GRB tools and considering
to introduce performance budgeting in other areas related to social
or environmental policies.

52. Council of Europe member States have adopted various GRB tools
and approaches, but many apply only a few tools at a single stage
of the budgetary process, limiting the potential benefits of GRB.
All member States are recommended to increase the number of tools
and approaches they apply and adopt a more advanced approach, like
Austria and Sweden, by implementing multiple GRB tools at every
stage of the budget cycle and fully integrating a gender perspective
throughout the process.
53. Challenges hindering the implementation of GRB measures in
Council of Europe member States vary. The main challenges include
poor availability of disaggregated data, inadequate legal and institutional framework,
insufficient political will, lack of resources, knowledge or technical
experience and limited impact on budget decisions.

54. While the majority of Council of Europe member States practicing
GRB require that gender information accompanies budget proposals,
only 9% of OECD member countries reported that this information
is always or often used in decision making, 59% said that it is
sometimes used and 32% rarely use it.

Therefore,
it is important for Council of Europe countries to work towards
increasing the impact of GRB on budget, policy development and resource
allocation decisions.
55. It is important to note that several Council of Europe member
States outlined their plans to further develop their GRB practices.
Finland noted plans to undertake a gender impact assessment of the government's
economic policy over the parliamentary term. Iceland is expanding
the scope of GRB to include more intersectional analysis. Ireland
is discussing the development of a tagging system to link budget
allocation line items to dimensions of equality, green, well-being
and SDG budgeting. Türkiye intends to establish a reporting system
that will monitor and evaluate gender equality indicators linked
to budget measures and help better inform decision-making processes.

56. Overall, while some Council of Europe member States have introduced
GRB, progress remains slow, with practices often limited in scope
and facing implementation challenges. Member States are urged to advance
GRB by establishing strong legal frameworks and clear institutional
arrangements, improving data collection, and integrating gender
analysis throughout the budgetary process, ensuring broader application across
all levels of government. Following the recommendations in this
report, along with those from international organisations, is key
to creating gender-equal budgets by restructuring revenues and expenditures
to close gender gaps and promote gender equality.
5. Snapshot:
the United Kingdom
57. My visit to London on 14-15
May 2024 confirmed the United Nations’ findings on the all-too-slow progress
in all areas of women’s equal participation in the economy: the
idea of “equal pay for equal work” has been part of workers’ claims
since the 1970s in the United Kingdom, resulting in the early introduction
of compulsory gender pay gap reporting, but even with half a century
of law and policy, the aim of economic equality is still not close
to being achieved.
58. Legislation is based on the Equality Act 2010, which covers
all areas, including ethnicity, disability as well as gender equality.
There is a legal duty to carry out equality impact assessments of
new legislation (one of the main principles of GRB), but from the
exchanges I had it became clear that a more systematic and in-depth
study, and subsequent accountability, were needed. The representatives
of the UK Government’s Equality Hub informed me that “naming and
shaming” businesses that do not promote equality are more efficient
in pushing for equal pay than financial penalties.
59. Recent measures brought in by the government include the doubling
of free childcare entitlement for parents from 15 to 30 hours a
week. Although this shows recognition of one of the major obstacles
for women’s participation, the new measure has not, for the moment,
been followed up by sufficient provision of daycare infrastructure
and staffing to be functional. In addition, encouraging women to
work less hours (because they are still the main carers) is seen
to constitute a risk for their careers. A campaign to encourage
better sharing of parental leave in the country has yielded some
positive results.
60. Women's health is another key area where gender-specific health
issues are currently being given substantially more attention in
the United Kingdom, for instance in relation to a better understanding
of the problems of menopause in the working environment and how
to mitigate the consequences. Maternal mortality is a severe problem
among ethnic minorities in the United Kingdom – the rate is 4-5
times higher than in the rest of the population. Similarly to many
other countries, the Covid-19 pandemic had an impact on equality
– in the UK disadvantaged situations and vaccine hesitation amongst
ethnic minorities led to wide disparities in morbidity.
61. Brexit was not seen by the government representatives I met
as an obstacle to policy implementation – most of the relevant provisions
from EU law have been incorporated into national law, and EU law
had to a certain extent been inspired by British legislation. The
Equality Hub is concentrating on businesses as a channel for more
equality. Girls’ and women’s participation in scientific, technological,
engineering and mathematical (STEM) studies has increased in the
United Kingdom up to high school age, but there is still a very
large difference in related professions, where there are much lower
entry rates and higher drop-out rates than for men (mainly due to
care responsibilities).
62. A select committee of the British Parliament, the Women and
Equalities Committee, set up by David Cameron in 2015, oversees
bills for new legislation and their impact on equality. Caroline
Nokes, Chair of the committee, underlined the cross-cutting nature
of this committee, which scrutinises equality across the government,
working on disability, ethnicity and intersectionality as well as
broad issues of women’s equality. This supervision was useful, but
the recommendations made are often rejected by government.
63. Ms Nokes informed me that gender pay gap reporting had ceased
and should be resumed, and that the government’s gender impact assessments
of new laws should be a legal obligation and should be made public. She
recommended that women and equalities committees should exist in
all parliaments. Public campaigns (around menopause, race and gender,
misogyny, etc.) are a good tool for changing mentalities, and more should
be done about harassment, in particular in public services, in the
police, armed forces, and in hospitals where sexual harassment was
“rife and covered up”.
64. Another interesting mechanism which exists in the United Kingdom
for independent oversight of equality legislation is the Women’s
Budget Group (WBG), founded in 1989 by women economists who, observing
that men were deciding most, if not all policies, decided to examine
and analyse the spring and autumn budget statements and debates
and issue commentaries. The WBG provides deep analysis of budgets
within a week of their publication, focusing on gendered aspects,
inviting experts to make contributions according to the subjects.
Ms Samah Krichah explained, during our meeting, that these reports
were increasingly appreciated, and the WBG was now receiving grants
to carry out its work. WBG now also offers training on how to use census
data in advocacy, currently in partnership with King’s College London
but soon to be set up around the country.
65. The group also works to assist women in overcoming their reluctance
and lack of confidence in manipulating data and using mathematics.
Ms Krichah repeated that the different impacts of policies on men and
women are not sufficiently taken into account – cost of living fluctuations
affect women more than men, for instance, and the benefits they
often depend upon do not rise with inflation.
66. Recommendations here were to close the gaps in gender-disaggregated
data and to “question old ways of thinking about the budget” by
more involvement of academia and civil society in governments’ budgetary work.
The WBG provides a unique model which could be reproduced in other
countries.
67. During my visit to London, I also met with the Women’s Resource
Centre, an umbrella organisation for a large number of small, grass-roots
associations, many of them working with black and other minoritised women,
groups identified as needing the most support. CEO Ms Vivienne Hayes
told us that many organisms did not take questions of race or of
disability into account. Procurement procedures are too complicated
for many women and are applied even where not legally required.
68. Ms Hayes made four clear recommendations for advancing women’s
economic empowerment. The first is free, universal childcare: childcare
in the UK is apparently among the most expensive in the world, and
is a deterrent, for mothers especially, to return to work, resulting
in the entrenchment of gender roles and limiting women’s opportunities.
She also informed us that only children whose parents earn at least
the equivalent of 16 hours per week at national minimum or living
wage are entitled to the new 15 and 30 hours of free childcare, which
again discriminates against parents who are out of work and entrenches
inequality.
69. The second recommendation is to remove restrictions on the
right to work during asylum applications, and the third to set up
a national, independent women’s fund. The Centre’s experience is
that women’s organisations are chronically underfunded and undervalued,
and that despite providing life-saving services, they are not considered
a statutory service and face more cuts as local authorities face
bankruptcies and tighter budgets. The fourth and related recommendation
is to create an independent, national mechanism to promote women’s
rights and adequate funding for the women’s sector. The Centre concurs
with the United Nations Committee on the Elimination of Discrimination
against Women (CEDAW) recommendation for national mechanisms to
drive improvements to women’s equality, but considers it important
to include marginalised women’s organisations in these mechanisms.
6. Good
practices
70. According to the above-mentioned
OECD study, there has been marked progress in two areas: parental leave
for fathers (in Luxembourg, Iceland, Sweden, Denmark and Portugal,
where 40% of men now take parental leave) although periods taken
are systematically shorter. Pay transparency for equal pay has also improved,
and 55% of countries now require gender pay gap reporting in private
firms.
71. During the exchange of views on 15 September 2023, Ms Sabina
Ćudić (Bosnia and Herzegovina, ALDE) informed members how with “acupuncture”
interventions in Sarajevo good results had been obtained. For instance,
by subsidising private kindergartens so they could offer the same
prices as State structures they had allowed kindergarten waiting
lists to be abolished. Child allowance had been increased from 90€
to 500€, based on the premise that this money was then channelled
back into the economy. Financial independence was a shield against
certain levels of domestic violence. These were not necessarily
huge pieces of legislation, but they made a difference on the ground,
as did subsidising care for the elderly.
72. Despite its many tragic consequences, the war of aggression
against Ukraine has accelerated the development of women’s roles
in the country’s economy. Half of small enterprises created since
the invasion were started by women, and 30% of larger businesses
were led by women. Since 2014, the gender pay gap had been reduced
to 6-7%. A 2030 strategy for equality in employment was in place.
Since November 2021, Yulia Svyrydenko has been both First Vice Prime
Minister of Ukraine and Minister of Economic Development. It is
evident that women will also have a major role in reconstruction,
and the country and its partners must give priority to childcare
(kindergartens) in reconstruction investment.
73. EIGE’s Gender Equality Index notes, on one hand, good performances
in EU countries in equal access to health, but on the other hand,
health is the only marker showing a decline since the previous edition
and is also the area with the least progress since 2010. Since 2020
the biggest improvement in the European Union has been in the domain
of “time” (measuring gender inequalities in time spent carrying
out care and domestic work and engaging in social activities such
as leisure and sport). An improvement in the time spent on care activities
has been instrumental in the change, but is apparently due to women’s
lower engagement in unpaid care and housework overall, rather than
men’s higher participation in such activities.
6.1. The
need for champions of economic empowerment
74. I had the opportunity to meet
a really inspiring woman during my mission to London in May 2024.
Her story shows the importance and power of women sharing their
experiences with others and I use it extensively here to illustrate
the force for empowerment such women can be.
75. Founder of a UK registered charity named SHEWISE,

from a South Asian family, Ms Sayeeda
Ashraf grew up in central London where home and its traditions contrasted
starkly with school and its predominantly white habits and pupils.
When an arranged marriage with children ended in intimate partner
violence, Ms Ashraf started a small business in catering with her
sister, which eventually became the largest supplier of Asian food
in the industry. But the struggle to juggle family and business
and lack of support ended in the loss of the business in 2008 and
a steep decline in confidence and self-esteem.
76. Emerging from this experience, she began coaching in entrepreneurship,
soon extending to life coaching and guidance in domestic abuse services
with the realisation that a holistic approach was essential. The principle
of SHEWISE is to accompany (mainly Asian) women on a “journey”,
along which first their basic needs are met before going on to individual
coaching, designed to boost confidence, change their self-perception
as “lesser individuals”, help recognise and react to violence and
put themselves first, while learning to communicate effectively.
77. Ms Ashraf now also works to train National Health Service
staff and the police on identifying and assisting domestic abuse
victims, as well as to help South Asian women to overcome their
distrust of the police and under-reporting out of fear of family
rejection or of losing their children. Getting more men involved
was also an objective, pursued through work with leisure centres,
for example, where youth are encouraged to talk about healthy relationships.
78. Ms Ashraf informed us that government funding followed quite
narrow criteria which preclude some important actors and ethnic
organisations are not always successful in understanding how government services
work. One of Ms Ashraf’s recommendations was that large stakeholders,
such as banks and industry, work on a more local level, focusing
on sponsorship of local communities and more local recruitment.
6.2. The
experience of Albania
79. The round table on 5 June 2024
in Tirana provided insight into another interesting national situation, where
active policies were making a difference to women’s presence in
the economy and in decision-making roles. Minister Ibrahimaj informed
participants that the gender pay gap in Albania stood at 6.8% and
that there was serious investment in promoting women’s employment.
GRB was estimated to be applied to just 10% of the national budget,
but this represented a rise from 7% in 2017. However, “social transfers”
made up 50% of the State budget, so GRB was higher than reported,
because more social benefits were paid to women than to men.
80. Vocational training, support for mothers returning to work
and incentives to parents were all part of State measures, and education
for women and girls was improving, evidenced by their increased
presence at top levels of academia and in STEM areas – in Albania
as in other countries, women and girls had the skills but were still
to attain the same rates of employment as men. Digitalisation was
facilitating increased equality in access to employment in general.
There had been a gender equality law in Albania since 2008 and in
2014 mechanisms for GRB had been put in place. A new law on local
finances had been designed with a gender perspective – there was
still a long way to go, but the mechanisms were in place and were
operating.
81. The Mayor of Durrës Ms Emiriana Sako recounted the challenges
of the past four years in her city, where the destructive earthquakes
of 2019 (50 victims) had been followed by the Covid-19 pandemic.
Much energy and funding had been spent on shelters for families
and the restoration of buildings, primary health and education infrastructure
(47 new schools had been built). Women doctors and nurses had been
vital in this period, and 78% of educational funding had been allocated
to women and girls. Efforts were made to bring services closer to
citizens, and progress had been made towards a society based on
equality, for instance with better access for girls to education
and social integration. Tourism had also been developed as a source
of income.
82. It was interesting to learn how policies at local and regional
level were devised and implemented. The Deputy mayor of Tirana Ms Halili
stated that there was an equality co-ordinator for each municipality
unit in Tirana, as well as services against violence and action
plans drawn up in accordance with the European Charter for Equality
of Women and Men in Local Life. National and local levels of government
were co-ordinated and direct contributions were made to women’s
empowerment. Women were active and influential in politics, 72%
of Albania’s top managers, 67% of middle management and 80% of vice-mayors
in Albania were women. Direct grants were given to women’s economic
initiatives, and marginalised groups such as Roma were prioritised,
with special encouragement for craft work and young women’s innovation. Consultations
were held on GRB, including with the public. Again, as in the United
Kingdom, the usefulness of small grants and microloans for women’s
start-ups and small businesses was made evident.
83. The World Bank country director for Albania, Mr Salinas, pointed
to the need to retain human capital in a low-income country like
Albania, as lack of prospects created a movement of emigration.
If women’s economic empowerment was not fostered in the Balkans,
the region would never attain middle income status, which in his
opinion was more crucial than connectivity, for instance. EU membership
was also very important. Health and education deficiencies were
also factors of loss of human capital – according to research, women’s active
participation in the labour market after maternity would enable
an increase of 12% in GDP, and the cost of domestic violence should
also be taken into account.
84. Mr Salinas added that part of the World Bank’s communication
efforts concentrated on emphasising that empowering women was not
a question of “benevolence”, but that their full participation in
the economy was a precondition for economic development, especially
with the increasingly evolving nature of employment away from the
subsistence economy towards jobs requiring more socio-emotional
skills for which women had great capacities. Men needed to know
that the transition did not mean social or political disenfranchisement,
and more incentives were needed. I believe this is one of the key
messages of my report.
6.3. Women’s
role in a “green and digital future”
85. Women and girls have enormous
potential for contributing to a green and digital future which leaves
no one behind, yet they encounter many challenges to their fullest
participation and in taking up the unprecedented opportunities that
technology has to offer. In central sectors such as STEM, numerous
barriers hinder women and girls’ access to education, public services
and a wide range of life opportunities and deter them from joining
and remaining in the workforce in this field. Eliminating the gender
stereotypes that prevent women and girls from following vocations
in STEM from education to employment is essential.
86. Women and girls must also be empowered to use digital technology
as a tool for equal participation in decision making in the workplace.
The global digital divide has a strong gender-based dimension, where women
find themselves undertrained and with more complicated access to
digital tools. Digital technologies also bring with them new forms
of gender-based violence and harassment previously centred principally around
the physical workplace, now with new manifestations. These emerging
threats against women and girls must be understood and prevented,
to ensure a safe, fair, and equal working environment for women
and an inclusive green and digital future.
87. Solutions to these challenges and which should be supported
and replicated. During the CSW67 in New-York in 2023, the Assembly
jointly with the Netherlands and Estonia organised a side event
entitled “Towards a Green and Digital Future: Opportunities and
Challenges for Women and Girls in Public Life and the Workplace,
where good examples were showcased, such as the Dutch recovery and
resilience plan which increased investment in digital skills education
and development to increase the number of female ICT specialists.
In Estonia, the Unicorn Squad initiative offered robotics and tech
activities for girls between 8 and 12 to break down the myth that
technology is only for boys.
88. Research reveals some unexpected results of gender equality
in economic spheres: for instance, a greater proportion of women
on corporate boards has a positive influence on the reduction of
CO2 emissions. According to the European Investment Bank, “Women
now control 40% of global wealth, and they want to invest in a sustainable
future. Some 74% of women report being interested in increasing
the share of ESG [environmental, social and governance] investments
in their current investment portfolios, compared to 53% of men.
Firms that fail to make room for women overlook an opportunity to
outperform their competitors.”

7. Conclusions
89. Legislation on women in the
economy is certainly slow, but is opening up new possibilities for
women. GRB, shared parental leave, more equal pay and transparency
have all improved. Policy makers must consider the promotion of
gender-responsive policies as a top priority to even out inequalities,
and policies need to be designed in a cross-cutting way, involving
all the different sectors of policy structures.
90. One of the greatest challenges is changing mindsets. There
must be a willingness on all parts to break the glass ceilings,
and for those who have succeeded to act as champions, showing that
their achievements are attainable by many other girls and women.
Equality must be championed in daily life: traditions, identities, gender-specific
cultural differences are no excuse for perpetuating inequalities.
There must also be a better approach to diversity and stereotypes
must be countered. An intersectional approach should be adopted
to prevent multiple layers of discrimination against women from
diverse and disadvantaged groups in the economy.
91. That said, these changes can only happen if they are accompanied
by proper investment, which in turn requires recognition by decision
makers and leaders in the economy that equality can only mean profit
in the long run. To quote the Sustainable Development Goals’ annual
Gender Index for 2022, which looked back extensively on the consequences
of the Covid-19 pandemic, “The social transformation needed for
gender equality must be funded, which requires gender-responsive
budgets, progressive taxation and strong investment in public services
and public (including care) infrastructure.”

92. Gender needs to be mainstreamed in all policies and budgets:
social affairs, family, equality ministries need to erase siloing
as far as possible, and also make sure that adequate funding is
earmarked for equality. Cross-cutting policies must ensure continuity
in support for women’s equal participation in all areas.
93. From my interviews with civil society actors in the United
Kingdom, I learned that it is not always the money that is lacking
to support women entrepreneurs. Grants are often subject to complex
application requirements and often procurement processes, which
are beyond the reach of women wishing to start small businesses
or start-ups. There is a need for small grants to be awarded directly,
without the red tape, which makes obtaining funding too slow and
complicated for most women, especially the most disadvantaged among them.
94. The Assembly often points to insufficient data collection
as an obstacle to designing targeted policies: the issue of women’s
equal participation in the economy is no exception to this lack.
Disaggregated and intersectional data is needed to identify root
causes of inequality and clarify the orientations that should be taken.