The massive strides made by the Indian economy in the last decade unfortunately masks its notoriously low female labour force participation rate (LFPR), which seems to be stagnant. Data from the Periodic Labour Force Survey (PLFS July 2021-June 2022) shows. 29.4% of women (aged 15-59) were part of India’s labour force in 2021-22, as compared to 29.8% in the preceding year. When we come to the automotive sector, the participation of women in this industry is relatively low, especially in technical roles.
According to a study conducted by the Society of Indian Automobile Manufacturers (SIAM) in collaboration with the Automotive Skill Development Council (ASDC), women constitute only 20-25% of the total workforce in the automotive industry, and most of them are employed in non-technical roles such as sales, marketing, and customer service. The study also found that women's participation in technical roles such as engineering and design is as low as 2-3%. The main barriers to women's participation in the industry include a lack of awareness about career opportunities, stereotypes and biases, and a lack of support for work-life balance.
Globally too, women's participation in the automotive sector is relatively low, particularly in technical and leadership roles. According to a report by McKinsey & Company, women make up only 14% of the automotive industry's global workforce, and they hold only 9% of leadership positions.
This bias is not vastly different from the bias that exists across industries. Starting from the basic biased notions of - women don’t drive well, women cannot do the heavy lifting, women don’t make good science innovators, women are not worthy of being invested into because they more actively ask for a work life balance, some go on maternity leave etc; the automotive industry is rife with subtle and unconscious biases against women.
This has also given rise to compartmentalisation and misconceptions that women are made for softer support functions like HR, customer support and that they are not suited for innovation, manufacturing or technical roles. Furthermore, women are also not considered for functions like procurement and sales. The unconscious bias exists that women are not considered a good fit because the suppliers are usually traditional companies and don’t take women’s propositions seriously.
For eliminating this bias - a natural step that many women have adopted is to have a ‘man-like’ approach in their work behaviour. To break the glass ceiling they have to first get a foot in the door to the ‘big boys’ or ‘tech bros’ club.
Some MNCs have taken the first step towards addressing this unconscious bias. In India, almost every major car and bike manufacturer such as Tata, Maruti Suzuki, Mahindra, Hyundai, Hero, Bajaj, TVS, Honda among several others have implemented initiatives such as Winning with Women, Project Sakhi etc; to promote gender diversity across their organisations and functions. While they have yielded some good outcomes, the participation of women in the automotive industry is poised to grow with the advent of EVs.
With the onset of the EV revolution this decade, this process is likely to get accelerated. EVs, by their virtue of being composed of several electronic components, there is a need in the market today for finer and higher quality of work which women are naturally and historically better at. They are also able to handle finer equipment and assembling of parts in a much better manner. The demand for women therefore in manufacturing will be higher. Furthermore, when it comes to service engineers in fields such as electric mobility as a service (eMaaS), women are better placed to handle service and maintenance.
However, it is upon the incumbents in the industry to create an enabling environment for addressing the bias. Some such strategies are-
Promote diversity and inclusivity: Companies can promote diversity and inclusivity in their hiring and promotion policies such as the Diversity and Inclusion Council set up by Mahindra. This can include setting diversity targets, implementing unbiased recruitment practices, and creating employee resource groups to support underrepresented groups.
Provide equal opportunities for training and development: Companies should provide equal opportunities for training and development for women in the EV industry. This can include targeted training programs, mentorship opportunities, and support networks across functions.
Address pay gaps: Companies should address pay gaps between men and women in the EV industry. This can include conducting pay equity audits, implementing pay transparency policies, and ensuring that promotion opportunities are equally accessible to all employees.
Create a supportive workplace culture: Companies should create a supportive workplace culture that fosters career development and advancement for women in the EV industry. This can include recognizing and rewarding contributions from women, providing opportunities for networking and collaboration, and ensuring that company policies support work-life balance. Further, it also involves creating the necessary infrastructure at the workplace for women safety and security.
Women participation today has already begun in the gig economy, last mile transport and the logistics industry as e-rickshaw drivers and gig delivery riders. Impact of women in the non-traditional livelihoods is already visible and will be having a huge impact on their socio-economic empowerment as well as create positive externalities in terms of breaking gender stereotypes, increasing productivity, enhanced social status and prospering local economies.
Such an impactful journey is also inevitable for the entire EV industry; it is only prudent that companies embrace and expedite this change at the earliest.