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Global Feminism

UN 4th World Conference logo

Feminist Majority Foundation's Recommendations to the President's Interagency Council on Women: Economic Security and Justice


Provide Women Equal Opportunity In Employment
Measuring Gender Impact of Employment Shifts
Removing Gender Bias In Economic Research and Policy
Gender Balance in Financial Institutions
International Financial Institutions
Valuing Women's Unwaged Work
Pay Equity
Developing a Feminist Federal Budget
Poverty

ECONOMIC SECURITY/JUSTICE


PRIORITY: PROVIDE WOMEN EQUAL OPPORTUNITY IN EMPLOYMENT

The Platform for Action states:
Para 178(c)
Enact and enforce laws and develop workplace policies against gender discrimination in the labor market,, especially considering older women workers, in hiring and promotion and in the extension of employment benefits and social security, as well as regarding discriminatory working conditions and sexual harassment; mechanisms should be developed for regular review and monitoring of such laws.

Status:

The Department of Labor's Glass Ceiling Commission report shows that while white men are only 43% of the workforce, they hold 95% of the top management jobs at Fortune 2000 industrial and service companies. Women are also shut out of well-paying blue collar jobs: women comprise only 3% of firefighters, 8% of state and local police officers, and 2% of construction workers. In fact, women are underrepresented in 95% of job categories.

At the same time, anti-discrimination laws and affirmative action programs designed to remedy the exclusion of women have come under attack across the country. Affirmative Action does work: a 1995 study by Rutgers University law professor Alfred Blumrosen, a U.S. Labor Department consultant on affirmative action issues, revealed that an estimated six million women would not have the jobs they have today were it not for affirmative action programs. Further, the percentage of contracts awarded to women and minorities drops and employment opportunities decline without affirmative action.

Actions

  • The Administration should continue to work through the courts, the legislature, and the executive branch to defend and strengthen affirmative action.
  • The Department of Labor (DOL) must conduct extensive studies on affirmative action in the workplace, detailing programs and how well they have worked.
  • DOL should create and maintain a central database should be kept of programs that have worked in the past to serve as a resource for employers.


PRIORITY: MEASURING GENDER IMPACT OF EMPLOYMENT SHIFTS

The Platform for Action states:
Para.58(h)
"Generate economic polices that have a positive impact on the employment and income of women workers in both the formal and informal sectors and adopt specific measures to address women's unemployment, in particular their long-term unemployment."

Paras. 67 (a)(b)
"Develop conceptual and practical methodologies for incorporating gender perspectives into all aspects of economic policy-making, including structural adjustment planning and programmes. Apply these methodologies in conducting gender-impact analyses of all policies and programmes, including structural adjustment programmes, and disseminate the research findings."

Para. 206.
"Ensure that statistics related to individuals are collected, compiled, analyzed and presented by sex and age and reflect problems, issues and questions related to women and men in society."

Status:

Contrary to popular belief, increasing numbers of women workers have become the victims of downsizing, plant closings, and corporate restructuring. Wedged between the creases of economic studies and labor histories lie the myriad numbers of women who have been laid off as a result of company restructuring. Corporations rely on a disproportionately female contingent workforce that is ineligible to receive most benefits and thus costs employers less to maintain.

Actions

  • Collect and make available gender disaggregated data on the impact of downsizing, plant closings, and corporate restructuring on women workers.
  • Assess whether the 48 percent increase in the number of pregnancy discrimination complaints filed with the EEOC in recent years reflects whether pregnant women have been especially disadvantaged by downsizing.
  • Amend the Pregnancy Discrimination Act of 1978 to close the loopholes that are costing pregnant women their jobs.
  • Increase the resources of the Women's Bureau at the Department of Labor to conduct the research examining the impact of downsizing on women.


PRIORITY: REMOVING GENDER BIAS IN ECONOMIC RESEARCH AND POLICY.

The Platform for Action States:
Para. 68
Collect gender and age-disaggregated data on poverty and all aspects of economic activity and develop qualitative and quantitative statistical indicators to facilitate the assessment of economic performance from a gender perspective

Para. 63
Commercial banks, specialized financial institutions and the private sector should:

(a) Use credit and savings methodologies that are effective in reaching women in poverty and innovative in reducing transactions costs and redefining risk;

(c) Simplify banking practices, for example by reducing the minimum deposits and other requirements for opening bank accounts

Para. 64
Support, through the provision of capital and/or resources, financial institutions that serve low-income, small-scale and micro-scale women entrepreneurs and producers, in both the formal and informal sectors

Para. 65
Support institutions that meet performance standards in reaching large numbers of low-income women and men through capitalization, refinancing and institutional development support in forms that foster self sufficiency

Status:

Institutions responsible for formulating economic policy such as the Federal Reserve do not consider gender impact as a factor in formulating monetary as well as fiscal policy, despite the fact that many areas of economic policy such as banking and credit known to have a disparate gender impact. (GAO studies on CRA)

Actions

  • The Federal Reserve and analysts of monetary policy must reexamine the economic indicators that they use to determine the health of the economy . Does the consumer price index accurately represent the "basket of goods" that women are purchasing? Are women (both as private individuals and as business owners) hurt more severely by rising interest rates because of their traditionally limited access to credit which forces them to rely on credit sources such as credit cards?
  • The Federal Reserve must train staff in feminist economic theories and gender analysis to ensure that this kind of research is included in the recommendations made to the Board of Governors.
  • In addition, allow the General Accounting Office, which already audits the policies and actions of most federal agencies, to critically analyze policy decisions made by the Federal Reserve. GAO can highlight the gender impact of the Fed's policies and advise the Fed on how to incorporate gender analysis into monetary policy decisions. Currently, the Federal Reserve is one of the few government financial institutions outside the GAO's jurisdiction.
  • Federal law must require the Internal Revenue Service to keep data about income taxes disaggregated by gender.
  • Defeat the Regulatory Relief Bill which dilutes the Community Reinvestment Act (CRA). The CRA charges financial institutions with "a continuing and affirmative obligation to help meet the credit needs of their entire communities, including low- and moderate-income neighborhoods, consistent with safe and sound operation." It was created in response to the "redlining" phenomenon, in which banks were rapidly moving out of low-income neighborhoods. Banks are evaluated by the Federal Reserve Board, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision on their level of compliance with the CRA. CRA must be strengthened by increasing the incentives to receive positive CRA evaluations.
  • Amend the CRA to address the unique obstacles that women face when trying to obtain credit. Require the CRA evaluation process to measure how many loans each bank has made to women. Similarly, use the CRA evaluation process to encourage banks to provide special credit opportunities for women, such as those that are found at women-owned banks.


PRIORITY: GENDER BALANCE IN FINANCIAL INSTITUTIONS

The Platform for Action states:
Para. 192
(b) "Create or strengthen, as appropriate, mechanism to monitor women's access to senior levels of decision-making"

(c) "Review criteria for recruitment and appointment to advisory and decision-making bodies and promotion to senior positions to ensure that such criteria are relevant and do not discriminate against women"

Status:

Currently, only two of the seven members of the board of governors of the Federal Reserve System are women. A 1993 report of the House Committee on Banking, Finance and Urban Affairs found that "minorities and women are consistently underrepresented in the highest paid and most important decision-making positions at the Board and Reserve Banks, a condition that unfortunately also exists at other Federal banking regulatory agencies." The affirmative action plans of the Reserve Banks are not subject to evaluation by the EEOC because the banks are regarded as private institutions in this area. Their plans are reviewed by the Federal Reserve Board which uses a subjective and non-formalized grading method.

Actions

  • The Board and the Reserve Banks must design and publicize a plan of action for increasing the number of women and minorities in upper-level positions throughout the system. This should include a focus on on-campus recruiting at predominately minority and women's universities. As the House report suggested, "the Board's grading system must be comprehensive, uniform, consistent, objective and formalized." It is unacceptable for the Board to continue to base its grades on goals that they themselves set.
  • Congress must define the Board and the Reserve Banks as "executive agencies" under Title VII of the Civil Rights Act of 1964 to ensure compliance with this act, rather than continuing to consider the Banks to be private employers.
  • Other major financial institutions must increase the number of women in decision-making positions. At the World Bank, for example, only 12.7% of senior positions are filled by women. The proportion of women in top positions must continue to increase in the World Bank, the U.S. Treasury Department, the Congressional Budget Committees (which are both currently less than 20% women) and the International Monetary Fund. Top-level positions (and entire divisions) must be created in these institutions that directly focus on gender-related analysis and policy.
  • In the World Bank, the Asia and Africa divisions currently have full time, regular staff dedicated to gender issues. All regions should be required to include these positions. Specialist staff will be needed to support managers in the integration of social policy into economic reform and to enhance staff capacity.


PRIORITY: INTERNATIONAL FINANCIAL INSTITUTIONS

The Platform for Action states:
Para. 58 (b)
Analyze, from a gender perspective, policies and programmes -- including those related to macroeconomic stability, structural adjustment, external debt problems, taxation, investments, employment, markets and all relevant sectors of the economy - with respect to their impact on poverty, on inequality and particularly on women;

Status:

At the Beijing Conference, women's groups presented a petition to James Wolfenson, President of the World Bank. The petition addressed the negative impact that many of the Bank's policies have on women. (See attached copy of the petition.) The Bank has responded to the Beijing Petition by beginning the process of integrating gender into their research and policy in a variety of programs. The World Bank needs to:

  • Develop a plan which ensures the protection and increase of social sector resources in reform packages.
  • Increase credit for women by monitoring the banks in the countries it supports and demanding that women have access to credit.
  • Poverty assessments must monitor and measure the feminization of poverty. These assessments as well as other gender-focused impact indicators must be used in all decisions about program and project lending.
  • Extend the "Africa initiative" to all regions. This would require all regions to include at least three strategic gender objectives in each Country Assistance Strategy plan.
  • The Bank's central budget should include increased resources for gender programs and research.
  • All staff should be trained in gender analysis of macroeconomic policy.
  • All qualitative and quantitative data-including case studies, surveys, etc.-must be disaggregated by gender and this information must be used in developing macro-economic and sectoral policy.
  • Direct links must be established between the Bank staff and women's organizations, as well as organizations that work directly with the poor. There must be regularly scheduled meetings with these non-governmental organizations to discuss potential policy.


PRIORITY: VALUING WOMEN'S UNWAGED WORK

The Platform for Action states:
Para. 68 (b)
"Devise suitable statistical means to recognize and make visible the full extent of the work of women and all their contributions to the national economy, including their contribution in the unremunerated and domestic sectors, and examine the relationship of women's unremunerated work to the incidence of and their vulnerability to poverty."

Para. 206(f)(iii).
"Developing methods , in the appropriate forums, for assessing the value, in quantitative terms, of unremunerated work that is outside national accounts, such as caring for dependents and preparing food, for possible reflection in satellite or other official accounts that may be produced separately but are consistent with core national accounts with a view to recognizing the economic contribution of women and making visible the unequal distribution of remunerated and unremunerated work between women and men."

Status:

Women perform crucial unwaged work including housework, childcare, and eldercare which is not reflected in the national accounts and is therefore unvalued in our society.

Actions

  • Unwaged work must be regularly measured qualitatively and methods must be developed to accurately assess its value.
  • Alternative, but parallel accounts to the core national accounts must be developed and they must include the value of unwaged work to demonstrate its effect on the economy. Similar practices must be encouraged in developing countries and countries with economies in transition.


PRIORITY: PAY EQUITY

The Platform for Action states:
Para. 165(a)

"Enact and enforce legislation to guarantee the rights of women and men to equal pay for
"Increase efforts to close the gap between women's and men's pay, take steps to implement the principle of equal remuneration for equal work of equal value by strengthening legislation, including compliance with international labor laws and standards, and encourage job evaluation schemes with gender-neutral criteria."

Para.178 (o)
"Review analyze and, where appropriate, reformulate the wage structures in female-dominated professions, such as teaching, nursing and childcare, with a view toward raising their low wages and earnings."

Status:

According to the U.S. Census Bureau, in 1993, women were paid 72 cents for each dollar paid to men. For women of color, the wage gap is even more severe. This pay discrepancy causes a "domino effect" leaving women with less property, less access to credit, lower pensions and social security, and a lower standard of living.

The Equal Pay Act of 1963 and Title VII of the Civil Rights Act have not closed the wage gap that results from the sex-based occupational segregation of the workforce. The Fair Pay Act that has been introduced in Congress is an important first step to achieving the goal of equal pay for work of equal value. The Act requires equal pay for workers in equivalent jobs, "even when the work performed is different." The act prohibits wage discrimination based on race or national origin as well as gender and requires employers to disclose information about wages.

Actions

  • Enactment of the Fair Pay Act should be an Administration priority.
  • However, the Fair Pay Act is only the first step in achieving pay equity and implementing the Fourth World Conference on Women platform. The next step is encouraging "job evaluation schemes with gender-neutral criteria," as the platform recommends. The gender neutrality criteria requires that white male jobs, female-dominated jobs and significantly minority jobs be compensated on a consistent basis for job content characteristics such as similar skills, education, working conditions, and responsibilities. The standard of gender neutrality also requires that job content characteristics associated with predominately female and significantly jobs must be positively valued and compensated. The federal government should strive to achieve gender neutrality in its compensation systems and should encourage and assist government contractors, states and municipalities in removing gender bias from wage-setting practices.


PRIORITY: DEVELOPING A FEMINIST FEDERAL BUDGET

Para. 58(b)
"Analyze, from a gender perspective, policies and programs-including those related to macroeconomic stability, structural adjustment, external debt problems, taxation, investments, employment, markets and all relevant sectors of the economy-with respect to their impact on poverty, on inequality and particularly on women; assess their impact on family well-being and conditions and adjust them as appropriate, to promote more equitable distribution of productive assets, wealth, opportunities, income and services."

Para. 58(d)
"Restructure and target the allocation of public expenditures to promote women's economic opportunities and equal access to productive resources and to address the basic social, educational and health needs of women, especially those living in poverty."

Para. 58(h)
"Generate economic policies that have a positive impact on the employment and income of women workers in both the formal and informal sectors and adopt specific measures to address women's unemployment, in particular their long-term employment."

Status:

Women are hurt disproportionately by cuts in social spending and increases in military spending. Jobs in the social sector are predominately women's jobs while jobs in the military sector are predominately men's jobs. When money is taken from the already meager social budget, it is primarily women who are cut from the payrolls. Women are also disproportionately the recipients of social spending: 58% of Medicare recipients are women, 85% of Medicaid recipients are women and children, 97% of Aid to Families with Dependent Children (AFDC) recipients are women and children, 75% of Earned Income Tax Credit recipients are women, 85% of food stamp recipients are women and children, 68% of SSI funds go to women and children, etc. Cutting these critical social programs for the benefit of the already-bloated military budget is a women's issue.

Actions

  • The particular impact of the federal budget on women must be examined.
  • Data on the gender impact of all federal expenditure, revenue, and monetary programs must be collected, made available, and taken into consideration in policy design.


PRIORITY: POVERTY

Para. 58(c)
"Pursue and implement sound and stable macroeconomic and sectoral policies that are designed and monitored with the full and equal participation of women, encourage broad-based sustained economic growth, address the structural causes of poverty and are geared towards eradicating poverty and reducing gender-based inequalities within the overall framework of achieving people-centered sustainable development."

Para. 58(j)
"Provide adequate safety nets and strengthen state-based and community-based support systems, as an integral part of social policy, in order to enable women living in poverty to withstand adverse economic environments and preserve their livelihood, assets and revenues in times of crisis."

Actions

  • Rather than eliminating a guarantee of financial assistance to women with dependent children, the federal government needs to increase aid in order to bring families above the poverty level. Job creation, childcare, and health care should form the core of the federal government's anti-poverty policy.
  • The elimination of corporate welfare is crucial to narrowing the gap between the richest and the poorest in this country. Instead of gutting the social welfare system, the federal government should increase corporate taxes and reduce corporate subsidies. "The Corporate Responsibility Act" presented by the House Progressive Caucus in 1995 that will eliminate $800 billion in tax subsidies and other benefits for the upper class and corporations should be passed. The money that will be saved by suspending corporate welfare should be invested in the development of human capital (i.e. nutrition, housing, education). Military spending, which currently accounts for over 50% of the discretionary budget, has to be cut.

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