‘The pandemic is reversing progress on gender equality and diversity’

Blackrock, the world’s largest investment management firm, is now demanding ethnic and gender diversity on the boards of companies in which it invests. How will it affect Sweden?

– Hopefully, it will have a ripple effect and impact many industries and companies. Studies show that women and minorities are judged harsher in working life. For example, it is harder for them to make a career, and they have a lower wage progression. If we eliminate labour market discrimination, then the right skills will end up in the right place. This paves the way for more profitable companies and can strengthen Swedish competitiveness.

Blackrock’s critics talk about ‘pension fund socialism’ and say we are heading towards ‘a bottomless abyss without room for individual competence’. What do you say to the critics?

– Just as gender statistics have been necessary for us to make strides in gender equality, we also need, for example, ethnicity statistics in order to make strides in diversity. Not acknowledging this shows a desire to sweep the problems under the carpet. The United Nations and the European Council have repeatedly criticised Sweden for knowing too little about the labour market conditions for various groups. We need to get to grips with this. At Allbright, we advocate using gender equality data. It is a method companies can use based on self-identification, voluntariness and anonymity.

How has the corona crisis affected gender equality and diversity in the Swedish economy?

– As last year’s report shows, the pandemic is reversing progress. Never before have we seen such a step backwards in the progress of women in leading positions. The naming and shaming list of companies with no women at all in the boardroom increased for the first time and is now home to 21 per cent of companies listed on the Stockholm Stock Exchange. If Sweden doesn’t get its act together, we will, in as little as two years’ time, be the worst in the Nordic region for gender equality in the management teams of large companies. It is alarming. Business leaders have to be able to deal with this crisis right now and at the same time keep going and persevere with other business strategic issues.

Here is the link to Allbright’s report ‘Pandemin backar bandet’ [The Pandemic Reverses Progress]: https://www.allbright.se/nyheter/2020/10/4/allbrightrapporten-2020-pandemin-backar-bandet

Amanda Lundeteg was interviewed by Jean-Daniel Maurin, Partner at New Republic. ‘Three Quick Questions…’ is a series of interviews conducted by New Republic.