WHY IS THE SG2X PLAYBOOK EMPLOYEE HANDBOOK IMPORTANT?

understand the policies in plain language so that they could describe them to an outsider, such as a potential investor or a future hire. Understanding these policies in plain language will also help you develop unique strategies to implement the policies, which could make your company stand out amongst its competitors.

Our aim is that by using the policy language and templates, you can save time and money and focus on the important task at hand: adoption of the policies so that your company will be able to realize improved employee satisfaction and create an environment for sustainability and growth. Adoption into your company’s culture is the real work in achieving gender equality within your company (and for fund managers to achieve it within their portfolios). We provide some strategies and ideas below to help you get inspired, and we hope you will dedicate the time and resources to make it happen in your organization.

WHY IS THE SG2X PLAYBOOK EMPLOYEE HANDBOOK IMPORTANT?

We believe that a key factor that drives the success of an SME is people management. And because women make up 50% of the market and in many cases 50% of the workforce, having a people management strategy that is intentionally designed to be “gender-smart” is simply a smarter way of doing business. And while we all may think we do not have biases towards different sexes, think again. One of the reasons why women are underrepresented in leadership positions or face discrimination in hiring and promotions is unconscious biases in decisionmaking. Gender-smart policies can help to illuminate and address unconscious bias and promote equality in employee recruitment and progression. Thus, before you read any further, we want to make sure that you, as either an SME manager (or fund manager), truly understand the importance of why adopting and implementing gender-smart policies are so important. Below, we’ve outlined some key facts and figures that will not only support but will drive your company to support gender equality and women’s economic empowerment.i

THE IMPORTANCE OF ADOPTING GENDER-SMART POLICIES AND BUILDNG A GENDER-SMART WORKFORCE

WHY ARE THEY IMPORTANT? HOW DOES ADOPTION MAKE A DIFFERENCE?

Attract Top Talent and Retain Employees  Companies with higher levels of gender diversity and with HR policies and practices that focus on gender diversity are linked to lower levels of employee turnover.  Women are more likely to express interest in an organization and perceive it as fair when women are highly represented in top management positions.  Employee experiences of inclusion contribute to engagement and retention - 35% of an employee’s emotional investment to their work and 20% of their desire to stay at their organization is linked to feelings of inclusion.

Create a Positive Work Culture and Increase Employee Productivity

Increase Company Revenue and Profit and Reduce Costs  When employees feel both included and that their employer supports diversity, they report experiencing trust and increased engagement at work.  A 10% increase in perceptions of inclusion improves absenteeism, adding nearly one day a year in work attendance per employee.  Women experience less discrimination and sexual harassment in inclusive workplace cultures. On average, 34% of women employees experience sexual harassment in the workplace, which not only deeply affects their lives, but also negatively impacts the company’s overall performance and culture. a. Further, this is one of the biggest risks for investors and fund managers under their due diligence criteria and screening – the existence of discrimination and sexual harassment will make or break a decision on whether to invest in a company or trigger disciplinary action/penalties for existing investee companies that could lead to divestment.  Paid family leave offers clear advantages to both employers and families.

A study by the Institute for Women's Policy Research found that paid family leave helps employers because it can increase employee morale, productivity, and labor force attachment once new parents (particularly mothers) return to work.

 Companies rated in the top quartile for gender diversity on executive teams are 21% more likely to outperform on profitability and 27% more likely to have superior value creation.  Companies rated in the top quartile for ethnic/cultural diversity on executive teams were 33% more likely to have industry-leading profitability.  Diverse management teams are innovative and earn a premium for their innovation - companies with higher diversity in management earn 38% more of their revenues, on average, from innovative products and services than those companies with lower diversity.  Diversity is a key ingredient for better decision-making among teams –while homogenous groups may be susceptible to groupthink, diverse teams can leverage a greater variety of perspectives and are likely to consider information more thoroughly and accurately.  Gender diverse corporate boards are associated with fewer financial reporting mistakes and controversial business practices such as fraud and earnings manipulation.

Engage a Wider Customer  In general, women either make or influence up to 80% of household