Several days ago, the Nobel Prize in Economics was awarded to Claudia Goldin, an economist from Harvard (the first woman to hold a permanent chair in the Department of Economics), for her studies on the gender gap in the labor market.
Her research, spanning over 200 years of economic history, provides concrete evidence for something many of us have suspected: we need to start at home. To promote the inclusion of women in the formal labor market, a more equal distribution of unpaid domestic chores is essential.
The existence of barriers associated with household chores and caregiving is a significant impediment for women, not only for their entry into the labor market but also for their ability to start businesses and continue their education. These barriers directly and profoundly impact the quality and life prospects of women.
This is something we have confirmed through our education and entrepreneurship efforts at the Luksic Foundation, especially through our Despega Mujer program, which has supported 190 businesses led by women in the country.
Karen Angulo, who runs a jewelry business in Antofagasta, was one of the winners of the first edition of Despega Mujer in 2021. After going through the program, where she received 2 million pesos, personalized mentoring, and training, she formalized her business, increased her sales by 100%, hired four employees, and is now considering opening a second store. There are several cases like Karen’s.
This initiative was created with a gender focus, precisely thinking about the needs of women entrepreneurs. It aims to address various barriers such as digital divides, low self-efficacy, financing difficulties, family constraints, and the opportunity cost of training. For example, program training sessions are held with flexible hours, considering that many of these women, often caregivers, find it challenging to participate in educational activities due to the time they dedicate to unpaid work.
Promoting women’s participation in the labor market is the responsibility of all members of society. We must push for this from various pro-social perspectives, not just as a gender agenda. We need to create relevant opportunities, especially for those women who have caregiving responsibilities. Boosting female participation in the labor market will improve women’s life trajectories and provide them with the means to support their families and contribute to the country’s development. As they say, it’s a win-win, isn’t it?
