DIVERSITY and inclusion in the workplace should focus more on the argument of greater efficiency instead of the importance of social justice, new research has suggested.

A report from Aberdeen Standard Investments Research Institute, launched yesterday, gave guidance on what governments should focus on to help support the issue of gender inequality at work and support long-term economic growth.

ASI said there were also key takeaways from the paper – A Women’s Place; Boosting female labour-force participation to lift long-term economic growth – including a “powerful” efficiency argument.

“Increasing diversity and inclusivity in the workforce can lift incomes and growth,” the report said.

“As well as boosting utilisation rates, it can improve productivity by making better use of human capital.

“By understanding the policy and other constraints that limit women’s full participation in the workforce, governments will be better able to address long-term growth challenges and investors will be better able to assess the diversity and growth outlook.”

The report said men should have access to paternity leave so that the burden of child-related career breaks is more evenly shared.

Taxation systems should be reformed to reduce tax “wedges” for second earners and single parents, given the negative impact it has on female participation. The quantity and quality of female work should both be fully considered, amid the reality of the care/work trade-off and importance of part-time work and flexible short-term employment regimes. ASI senior political economist, Stephanie Kelly, said: “The disproportionate hardship inflicted on women by Covid demands urgent action from governments and companies to address gender inequality at work. Lockdowns have hit hardest at low-paid service-sector jobs typically filled by women. Women are bearing the brunt of home-schooling, childcare and housework, even if they’re working themselves.

“Furthermore, women are far more likely than men to face a trade-off between paid work and unpaid work, including caring responsibilities. Consequently, women work less. And, when they do work, they do fewer average hours, fuelling the gender gaps in pay, progress and opportunities.

She added: “This represents a huge waste of resources and a drag on the economy.

“The predicament will only worsen as populations age and fertility rates keep falling. Governments and employers have a crucial role – indeed a responsibility – in promoting equality in the workplace.”