Case Studies | International Finance Corporation: Identifying Opportunities for Women’s Empowerment in Trade Zones
BSR conducted research on women’s economic empowerment opportunities in eight key markets and made recommendations for solutions to barriers currently limiting that empowerment. The IFC is now implementing the recommendations in Bangladesh.
The Challenge
In trade zones with significant light manufacturing investments, women often represent between 60 and 80 percent of workers. These jobs can create significant opportunities for women’s economic empowerment, particularly in countries where the options for working outside the home are limited. Additional economic opportunities exist for female entrepreneurs.
Unfortunately, these empowerment benefits are often limited by inadequate legal protection and enforcement of laws pertaining to women, socio-cultural gender power structures, a lack of adequate social services, and a lack of business support services in most zones and the countries that host them.
In 2010 and 2011, BSR worked with the International Finance Corporation (IFC) to identify these challenges in eight markets and envision ways to make trade zones more effective tools of economic empowerment for women.
In trade zones with significant light manufacturing investments, women often represent between 60 and 80 percent of workers. These jobs can create significant opportunities for women’s economic empowerment, particularly in countries where the options for working outside the home are limited. Additional economic opportunities exist for female entrepreneurs.
Unfortunately, these empowerment benefits are often limited by inadequate legal protection and enforcement of laws pertaining to women, socio-cultural gender power structures, a lack of adequate social services, and a lack of business support services in most zones and the countries that host them.
In 2010 and 2011, BSR worked with the International Finance Corporation (IFC) to identify these challenges in eight markets and envision ways to make trade zones more effective tools of economic empowerment for women.
Our Strategy
To determine the challenges, BSR conducted desk- and field-based research in Bangladesh, China, Costa Rica, Egypt, El Salvador, Jordan, Kenya, and Philippines. We interviewed stakeholders from civil society, government, the private sector (including international buyers and factory managers), trade zone management authorities, and worker organizations and unions.
We also used these interviews as opportunities to find solutions. To guarantee meaningful discussions, we conducted focus groups with female entrepreneurs, visited community project sites, and held solutions-oriented workshops with factory owners and senior management.
We compiled our research results into a global overview, country-level case studies, and comprehensive recommendations for supporting women’s empowerment through legal and regulatory policy, improved services, and programs to meet women’s needs and help them develop critical skills.
Our Impact
Our research will support the learning and knowledge at the IFC, particularly related to the organization’s global trade zone programs, now housed within the World Bank.
In Bangladesh, the focus of a separate in-depth case study, three of BSR’s recommendations are being implemented in a pilot program that benefits more than 200,000 women working in that country’s export zones:
- Increase women’s participation in zone worker welfare associations. Under the IFC’s guidance, the Bangladesh Export Processing Zone Authority (BEPZA) implemented a quota system for women’s participation in legally mandated worker associations to ensure that the welfare associations are responding to women’s specific needs.
- Improve financial inclusion of female workers in zones. The IFC has been working with financial services providers to design affordable financial products and services for readymade garments workers, 85 percent of whom are female.
- Provide tangible opportunities for professional development and advancement to female workers. A pilot project is providing technical and life-skills training to female workers. It is also trying to demonstrate to factories the bottom-line benefits of providing career-advancement opportunities for women.
In recognition of this project’s contributions to gender equality and women’s empowerment in Bangladesh, BEPZA won the annual IFC CEO Gender Award in 2012.
