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FDI and Gender

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In this chapter we look at FDI wage and employment figures by gender. In Table 5.1 we can see that female employment is greater as a percentage share of total employment in domestic firms. The CSO Labour Force Survey indicates that the proportion of female employment economy wide is 45.1%.

Table 5.1 Percentage Female Labour%
Percentage of female employment in FDI firms42.5
Percentage of female employment in Irish firms48.7

Figure 5.1 illustrates the differences in female labour between Irish firms and FDI firms. The figure shows relatively lower percentages of female labour in the information and communications sector as well as manufacturing. The only two sectors with higher female participation are FDI retail firms and Irish financial and insurance activities firms.

FDI Firms (% female employment)Domestic Firms (% female employment)
Manufacturing31.9527.83
Retail55.2948.43
Information and
Communications
35.3235.06
Financial and
Insurance Activites
47.4851.3
Scientific and
Technical Activities
39.4547.55
Admin and
Support Services
42.9942.32

Figure 5.2 shows male and female labour in firms that are recipients of FDI from Ireland’s three principal investors (United States, United Kingdom and Germany). UK firms are more likely to employ women as seen in the figure below; as a great deal of firms that receive FDI from the UK are retailers (as seen in Figure 3.4), this result is indicative of the Figure 5.1 which shows FDI retailers to have high female employment.

% Male% Female
United States 59.6228440.38
United Kingdom50.2554449.74
Germany60.9961539

In Figure 5.3 the percentages of female employment in firms that are recipients of FDI from Ireland’s three principal investors (United States, United Kingdom and Germany) are shown by sector.  

United States United Kindom Germany
Manufacturing34.6327.5427.29
Retail53.1960.7244.62
Information and
Communications
37.2934.5535.64
Financial and
Insurance Activites
48.6853.6246.58
Scientific and
Technical Activities
40.1435.0218.5
Admin and
Support Services
42.7732.1766.9

Table 5.2 lists the average wage of workers in FDI receiving firms by gender across various sectors in the Irish economy. In each sector the average male wage is higher than the average female wage.

Table 5.2 Average Wages by Sector and Gender
SectorAverage Male FDI WageAverage Female FDI Wage
Manufacturing 59,00048,000
Retail46,00029,000
Information and Communications80,00067,000
Financial and Insurance Activities73,00050,000
Scientific and Technical Activities 72,00050,000
Admin and Support Services 44,00030,000

Figure 5.4 shows the difference (male wages minus female wages) between wages across various sectors in the Irish economy for both Irish firms and FDI receiving firms. Across all sectors, for both Irish and FDI firms, male wages are higher as illustrated by all the bars being positive. The sector with the highest disparity in pay is the financial and insurance activities sector. In this sector Irish firms have an even greater difference in pay by gender than FDI receiving firms; this is despite the fact that over 50% of the employees in this sector (for Irish firms) are women, as seen in Figure 5.1.

Wage Difference FDI FirmsWage Difference Domestic Firms
Manufacturing11.34461432056048.39868033647448
Retail17.143796289283312.4325511466301
Information and
Communications
12.925456755158515.9264159615736
Financial and
Insurance Activites
23.691716538950524.6879478758954
Scientific and
Technical Activities
21.650133427856819.810069839939
Admin and
Support Services
14.502609617988511.7480797488361

Figure 5.5 shows the wage differences in firms that are recipients of FDI from Ireland’s three principal investors and by sector. As illustrated, the differences are all positive indicating that male wages are higher across all the sectors and for all the countries described.

United States United KingdomGermany
Manufacturing13.3049285351838.957119088064713.3029152170857
Retail29.21781654890169.398761405028659.33530314807958
Information and
Communications
15.805162057448412.25159515446129.57935197340135
Financial and
Insurance Activites
22.73606310812924.795558037313117.5647291792544
Scientific and
Technical Activities
28.384099576415212.66389330940532.8198982869379
Admin and
Support Services
14.42251005710816.9192217937585217.3251376096491

Figure 5.6 illustrates wage growth for men and women across sectors. With the exception of the retail and financial and insurance activities, average female wages are growing at a faster rate than average male pay in FDI firms.

Male (% Wage Growth)Female (% Wage Growth)
Manufacturing6.8512.75
Retail11.79.84
Information and
Communications
20.2224
Financial and
Insurance Activites
4.844.42
Scientific and
Technical Activities
14.3216.3
Admin and
Support Services
18.0224.43

The disparities in female to male employment as evidenced by the above graphs and table is widened at the senior executive and CEO level as seen in the CSO’s Gender Balance in Business Survey.


Next Chapter >> Greenfield FDI