Recognizing the contributions of everyday superheroes

Recognizing the contributions of everyday superheroes: The unpaid care economy in the economic development of the world

Introduction:

Economies heavily depend on the labor force to drive growth and development in the modern world. However, an often-overlooked segment of the economy plays a vital role in sustaining societies and economies: the unpaid care economy. Comprising mostly of domestic work and caregiving responsibilities, this unpaid labor is predominantly undertaken by women and is essential for social welfare and economic stability. The International Labour Organization (ILO) estimates that unpaid care and domestic work by country is valued at 10–39% of GDP. It has also been noted that in some economies, unpaid care can contribute more to the economy than the manufacturing, commerce, or transportation sectors.

Understanding the Unpaid Care Economy:

Unpaid care and domestic work refers to non-market, unpaid work carried out in households (by women primarily, but also to varying degrees by girls, men, and boys) which includes both direct care (of persons) and indirect care (such as cooking, cleaning, fetching water and fuel, etc.).For women's equal access to paid work to facilitate sustainable development – without jeopardizing human well-being – it has to be based on a comprehensive strategy that includes recognition of the critical importance of unpaid care work, reduction of the drudgery associated with this work to increase its productivity and free up time, and redistribution of the work between women and men within families and between families and other institutions providing care.

In all societies, women still carry out a greater share of unpaid care work responsibilities. Globally, women do 76% of this work, over three times more than men. Women's rights advocates have long recognized women's unequal share of unpaid care work as a key dimension of gender inequality; it is now increasingly recognized in mainstream economic policy discussions as a constraint to economic growth and women's economic empowerment.

Who are the ones who are most affected by this Unpaid Care Burden?

Women and girls in countries around the world, regardless of socioeconomic status, perform a disproportionate amount of unpaid care work. For many women, these duties are in addition to their paid jobs, creating a "double burden" of work. And many women saw a rise in unpaid childcare in the wake of the COVID-19 pandemic. Pervasive gender norms and stereotypes reinforce the belief that women's and girls' roles are limited to the home. Because of school closures and the uptick in working from home during the pandemic, household chores have become more difficult. Girls and women have been left to pick up the slack by caring for sick family members and children. Lack of infrastructure and inadequate technology makes it difficult for communities living in poverty to access basic needs like water and firewood. Climate change also increases women's unpaid work in farming and water and fuel collection. Spending more time on unpaid care means having less time for paid labor, political participation, self-care, rest, and leisure. 

Source of image: OECD, Gender Institutions and Development Database (GID-DB)

Unpaid Care Work and Barriers to Women's economic development:

Unpaid care work remains a key constraint on women's participation in activities outside the household, including paid work, and a driver of women's disadvantage in the labor market. The challenge is particularly great in developing regions because of more limited access to basic infrastructure and public services, the more arduous nature of the work, and the lesser extent to which men carry out unpaid care work. Addressing gender inequality in unpaid care work is thus a priority in working toward women's economic empowerment. Women can better participate in the labor market – and labor market outcomes are more equitable – where working-time arrangements are more flexible, childcare is subsidized, and paid parental leave for both men and women is available. Analysis has shown that in the Nordic countries, which have the most comprehensive policies, there is greater gender equality in employment participation and outcomes.

On the other hand, in many developing countries where the informal labor market is the main source of employment for women and men, social protection such as parental leave provision is limited or not offered. Public care services' limited availability and entrenched social norms make it difficult for women to combine paid and unpaid work or participate in paid economic activities on the same terms as men. Instead, many women may opt for part-time, informal work that is more easily combined with their unpaid care responsibilities. Alternatively, they are completely excluded from paid work.

As a country's Gross Domestic Product (GDP) increases, infrastructure is likely to improve, and access to services increases, decreasing the time women spend on domestic and care tasks, such as cooking or traveling to health centers. While time spent in unpaid care work decreases as a country's GDP increases, the gender gap in unpaid care work remains. Globally, the gender gap in time spent in unpaid care work has declined by only seven minutes between 1997 and 2002, despite economic growth. The ILO estimates that at this rate, it will take 210 years to close the gender gap in unpaid care work(ILO,2018).

Addressing the Unpaid Care Work Burden:

The importance of addressing the burden of unpaid care work to achieve gender equality, and women's empowerment is recognized in the Sustainable Development Goals. The United Nations Secretary-General's High-Level Panel on Women's Economic Empowerment, established in September 2015, went further and highlighted the need to recognize, reduce and redistribute ("3Rs") unpaid care work as one of seven key drivers of women's economic empowerment(UN,2017). The International Labour Organization has recently proposed extending the 3Rs framework to "5Rs" to address decent work for paid care workers, including Reward for care workers and their Representation in social dialogue with employers and the state.

Unpaid care work produces many goods and services for human development, health, education, and sanitation. The ILO estimates unpaid care work to be around USD 11 trillion, or 9%, of global GDP. Gender inequality in unpaid care work excludes many women from the labor market. This exclusion has an impact on economic growth and development. Women's unequal share of unpaid work negatively affects not only their level of participation in the labor force but also the quality of jobs they access, contributing to gender wage gaps.

Hence, it is of prime importance to address the issue of unpaid care work in the economy and incorporate its contribution to the development of the world economy in a few ways, as discussed below:

  • Measuring unpaid care work using time use surveys-. Time-use surveys and modules provide a window into women's and men's time allocation to different tasks. It is an indispensable tool to design policies and programs that empower women and men to spend their time more fulfilling and productive, such as paid work or study, quality time with their families, participating in their communities, or resting.

  • Social protection and public services - These are a few key policy domains that shape how care work is distributed within households as well as among households, states, and the market through the direct provision and regulation of care services; financial transfers to households to support their caring work; and family-friendly policies. Public provision of subsidies to care services can reduce the time that household members (particularly women and girls) spend looking after dependents and free up time for them to engage in paid work or other activities.

  • Shared responsibility within the household and social infrastructure investment- This is relevant because it changes the social norms that shape gendered roles and responsibilities. Interventions in other policy areas – such as the availability and structure of paternity leave, the length of maternity leave, monetary transfers to caregivers, and the design of income taxation – can also create incentives for the change of redistributing gender roles within households. Similarly, increased access to infrastructure and investments in labor-saving technologies can incentivize a redistribution of household work from women to men. Investing in social infrastructure, such as childcare centers and elderly care facilities, can reduce the burden of unpaid care on individual households and improve women's participation in the labor force.

Conclusion:

The unpaid care economy remains an indispensable yet undervalued part of modern economies, constituting the backbone of human welfare, social cohesion, and community well-being. While it might not be measured in monetary terms, its significance goes far beyond economic value. By acknowledging and integrating unpaid care work into economic policymaking, societies can pave the way for more inclusive growth, gender equality, and sustainable development. It is time to move beyond the traditional economic paradigm and recognize the immense contribution of unpaid caregivers to the well-being and prosperity of communities worldwide. By implementing policies that address gender disparities, investing in social infrastructure, and adopting gender-sensitive economic strategies, we can create more inclusive and resilient economies that honor the true worth of the unpaid care economy. Embracing this paradigm shift will lead us toward a more just and equitable world where the value of care is cherished and the full potential of all individuals can be realized.

References:


Written by Pratyasha Kar | Proofread by Yasmin Uzykanova

Previous
Previous

The Role of Digital Currencies in Shaping the Future of Global Economics

Next
Next

India and the shadow economy