Savings

Covid-19 widened gender gap in retirement savings and employment: survey

Women have long lagged behind in employment and how much they are able to save for retirement. New research has shown that the pandemic has widened the gap.

A TIAA survey in the United States reveals that only 19% of women are convinced that they are on the right track to retire without running out of money, compared to 35% of men. The survey saw the participation of more than 3,000 adults in the United States.

The survey revealed that only one in three women was saving for retirement.

Earlier in 2013, the TIAA survey found that each gender’s level of confidence in whether they are saving enough for retirement varied by just 9 percentage points. The 2022 study showed the gap had increased to 16 percentage points, mainly due to the impact of the pandemic.

In another survey conducted by Max Life Insurance in India in 2021, it was found that only 24% of respondents considered saving for retirement a financial priority, and 56% believed savings would run out within 10 years after retirement.

The survey found that the pandemic had further exacerbated long-standing issues with revenue generation. According to the survey, men had an overall retirement readiness index of 44, and women were nearly tied with the retirement readiness index of 43.

However, this was only representative of the urban population, mainly in western India and the metros.

Globally in India, wage inequality and the burden of unpaid care have pushed more women into unemployment and poverty during the pandemic. Globally and in India, more women have lost their jobs during the pandemic.

According to a report by the Center for Sustainable Employment at Azim Premji University, 7% of men compared to 47% of women lost their jobs during the first lockdown in 2020. Most did not return to work at home. end of the year. Even in the informal sector, women have been much more affected. During the pandemic years, rural Indian women in informal jobs accounted for 80% of job losses.

The socio-economic toll of women and girls can have long-term consequences. Policies and actions must be deliberately targeted at women to avoid the exodus of women from the labor force, which could reverse not only gains in gender equality, but also gains in the country’s GDP.

(Edited by : Bivekananda Biswas)