Judith Beck – Financial Executive Women
There has been a groundswell of debate recently on why it is that women are still under-represented in senior positions and on boards.
Most notably, Facebook COO Sheryl Sandberg has been both lauded and criticised for stating that women limit their ambitions and sabotage their own careers because we are taught from an early age that we do not belong in positions of power. Whether you agree with Ms Sandberg views or not, she has hit on an important issue, and that is that nothing will really change for women unless we make the change happen.
So what is the solution? What is it that women can do to help ensure they reach their full career potential? Quotas are often claimed to be the answer. But aside from board and intern positions, I don’t believe they will solve the core issue and importantly, are not wanted by most women.
According to 2012 Australian Government statistics, women in the general population are paid on average 17.4% less than men, an increase from 14.9% in 2004.
But in my 20 years experience as an Executive Search consultant in financial services, not once have I seen a company reducing the salary range for a female candidate. Maybe the gap is not as wide in the finance industry, but what we know from running a benchmark salary survey for 10 years, is that women don’t apply for new roles as often as their male counter parts and with every move, usually comes a salary increase.
So what can be done? With the help of a number of very talented women and supportive organisations, I have recently launched an advocacy program aimed at women in financial services.
In building Financial Executive Women (FEW), I have spoken with almost 200 women to hear their views on what will make them more successful in their careers.
Only four believed that quotas were the answer; and those four all had HR backgrounds. The other 192 (all with at least five years plus experience in Financial Services) felt quotas were not productive as promotions may be seen to be undeserved.
These women wanted to get their next role based on their merit. The ‘boys club’ culture was acknowledged by some, however they understood that they needed to be more assertive in going for roles.
Other issues we identified include that women are more modest in their approach to career development. They often wait to be offered a promotion and are less receptive to Head Hunter calls. Women also understate their own achievements.
Men on the other hand are not afraid to blow their own horn and emphasise their success. Women also often fear being seen as disloyal if they apply for another role. This was particularly prevalent during the GFC, which could account for the widening pay gap. Women feared losing their jobs during this time so may have been more likely to stay in the same role and not ask for a raise.
