WTO Report Draws Attention to Impact of
COVID-19 Trade Disruptions on Women
Women are likely to be harder hit than men by trade
disruptions caused by the COVID-19 pandemic and the dangers are particularly acute
in developing countries according to a new information note from the WTO
Secretariat. The paper points to how governments’ policy responses could
address gender-specific effects of the crisis.
Women
make up a larger share of the workforce in the manufacturing sectors, such as
textiles, apparel, footwear and telecommunication products,
that have seen the largest falls in export growth during the first
months of the pandemic, the paper notes. In the services sector, women also
outnumber men in industries that have been directly affected by travel
restrictions, such as tourism and business travel services.
The
paper estimates the risk posed by trade disruptions on men and women using
employment data from the World Bank Enterprise Surveys, monthly merchandise
exports data and statistics on the mode by which a service is supplied.
The
paper furthermore notes that women are disproportionately present in the
informal sector in developing and least-developed countries and in activities
that cannot be done remotely. It also highlights how the existing gender gap in
terms of income, education, information technology skills, access to finance,
and childcare responsibilities put women at a further disadvantage during the
pandemic.
Maintaining
open markets during the recovery period is key to building faster and more
inclusive growth, the information note states, adding that this should be
complemented by appropriate labour and education
policies as well as legal and social reforms to support women workers,
consumers and traders. The paper also points to the recently launched WTO-World
Bank report "Women and
Trade: The role of trade in promoting gender equality",
which highlights ways to ensure women continue to benefit from trade during the
economic recovery after the pandemic.
·
Women are at risk of suffering more than men
from the trade disruption generated by the COVID-19 pandemic. One of the
reasons for this is that a larger share of women works in sectors and types of
firms that have been particularly hard-hit by the pandemic.
·
Women make up a larger share of the workforce
in the manufacturing sectors, such as textiles, apparel, footwear and
telecommunication products, that experienced some of
the largest falls in export growth during the first months of the pandemic. For
example, female employees represent 80 per cent of the workforce in ready-made
garment production in Bangladesh, in which industry orders declined by 45.8 per
cent over the first quarter of 2020, and by 81 per cent in April alone.
·
A larger share of women than men works
in services, such as tourism and business travel services, that have been
directly affected by regional and international travel restrictions.
·
A large share of firms owned or managed by
women are micro, small and medium-sized enterprises (MSMEs), and lower levels
of financial resources and limited access to public funds are placing the
survival of such businesses at greater risk.
·
The economic impact of the pandemic is
expected to be particularly significant for women in least-developed and
developing economies because fewer women than men are employed in these
economies in occupations which can be undertaken remotely, and a larger share
of women is employed in sectors highly exposed to international travel
restrictions.
·
The effects of the pandemic are aggravating
existing vulnerabilities. Many channels through which COVID-19 is having a
greater impact on women are those at the heart of gender inequalities, such as
lower wages for women, fewer educational opportunities, limited access to
finance, greater reliance on informal employment and social constraints.
Limited access to digital technologies and lower rates of information technology
(IT) skills further reduce women's opportunities for teleworking and
e-commerce, and thus for adapting to the current crisis.
·
Many governments have adopted a broad range
of support measures to help individuals and businesses. Some of these measures,
mainly social protection initiatives adopted by some central or local
governments, are specifically targeted at women.
·
Maintaining open trade during the economic
recovery period is key to building faster and more inclusive growth.
·
The joint World Bank and World Trade
Organization report on trade and gender, "Women and Trade: the role of
trade in promoting gender equality", published in July 2020, highlights
ways in which trade can continue to benefit women in the post-COVID-19 recovery
period.