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Women representation on company boards increases in India: Study

Women representation on company boards increases in India: Study
20 April 2016 Current Affairs: India has made "significant improvement" in broadening female representation on the board of top 100 companies listed on the Bombay Stock Exchange.According to the joint study entitled "Building Diversity in Asia Pacific Boardrooms", female board representation increased from 7.3 per cent in 2013 to 8.6 per cent in 2014. It was 5.8 per cent in 2012 and is estimated at 12 per cent for 2015. Three countries in the Asia Pacific region, namely Australia, India and Malaysia, showed significant improvement in broadening women representation on boards across the companies. A combination of government initiatives has contributed to the increase in these countries,the study.

Indian companies, for instance, have been swift to respond to the Company Act by drawing on their existing networks.The Company Act, which required all listed companies to have at least one woman on the board, has helped enable this broadening female representation.India's corporate boards without women has decreased from 44 per cent in 2013 to 29 per cent in 2014.The highest number of female board members, at 17.5 per cent, were in the Telecommunication Services, followed by 11.6 per cent in Information Technology and 9.6 per cent in Financials, the study.The lowest, at 4.9 per cent, was in Industrials.Women make up 10.2 per cent of the directors in companies across 10 Asia Pacific economies covered by the study, up from 9.4 per cent in 2013 and 8 per cent in 2012, the study Female board members in Australia increased from 18.6 per cent in 2013 to 21.9 per cent in 2014. 

In Malaysia, women in boardrooms increased from 8.3 per cent in 2013 to 12.5 per cent in 2014, driven by the government set target of having 30 per cent by this year.


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