More women are needed in the FTSE 100 executive pipeline, a new government-backed review has recommended.
The review has proposed that companies listed on the FTSE 100 should have a voluntary target of at least 33 per cent of their executive pipeline positions filled by women by 2020.
The independent review, headed up by Sir Philip Hampton, Chair of GlaxoSmithKline, and Dame Helen Alexander, Chair of UBM, is pressing ahead with proposals to ensure talented women at the top of business are recognised, promoted and rewarded.
Latest statistics found that 25 per cent of those currently sitting on FTSE 100 executive committees, and their direct reports, are women. The latest research also found that 20 FTSE 100 companies already have at least a third of their executive pipeline made up of women.
However, the review argues that there is much more to be done. There are still 12 FTSE 100 executive committees with no women on them, and there are still boards and executive committees in the FTSE 350 that have no women on them.
Speaking about the review, Sir Philip Hampton and Dame Helen Alexander said, “It is clear that the voluntary business-led framework to improve the number of women at the top of British business is working and it is time to extend the focus beyond the boardroom.”
“We are launching the next stage in the journey where FTSE 100 companies will aim for a third of their all-important leadership roles to be occupied by women by the end of 2020.”
“We don’t under-estimate the challenge the new voluntary target presents for many FTSE companies.”
“However, we are encouraged by the breadth of experienced women ready and willing to step up, the significant efforts underway in many companies on this agenda and the ability of British business to work together to bring about change when it is needed.”
Also speaking about the review’s release, Justine Greening, Minister for Women and Equalities said, “No woman should be held back just because of her gender.”
“It’s vital we help more women get into the top jobs at our biggest companies, not only because it inspires the next generation but because financially business can’t afford to ignore this issue – bridging the UK gender gap in work could add £150 billion to our annual GDP in 2025.”
“We’ve achieved amazing things – we now have a woman on every board in the FTSE 100 and we have the lowest gender pay gap on record.”
“But we have to push further and focus on the executive pipeline.”
“I am sure that the ambitions set out by Sir Philip and Dame Helen will help us get more women into those top jobs.”