Tuesday, 23 October 2018

German cabinet approves female boardroom quota legislation

The German cabinet has approved a plan to introduce a 30 percent quota for women in the country's boardrooms. Small businesses are also to be required to take steps to improve workplace equality.



Chancellor Angela Merkel's cabinet, made up of her Christian Democrats (CDU) and their coalition partners, the Social Democrats (SPD), approved a draft law for a female boardroom quota on Thursday.

"This legislation is the start of a process which will change the leadership and business culture in our country," the minister of family affairs, Manuela Schwesig, said following the meeting in Berlin. She described the quota as a "milestone on the path to equality."

The law will make it compulsory for the non-executive boards of at least 108 German companies listed on the stock market to be made up of at least 30 percent women. From 2016, these companies could be penalized if they do not comply with this quota.

The female boardroom quota is to be introduced on a sliding scale in terms of the size of businesses. Smaller companies and public services will also be required to increase the number of women in leadership positions and, starting in 2017, to report regularly on their progress in doing so. However, they will not be subject to penalties if they do not meet their quota.

Government offices will have to set out clear goals for increasing the numbers of women or men in higher positions.

The minister of justice, Heiko Maas, of the SPD, which put forward the draft law, rejected the argument of some opponents of the move, who say that there are not enough qualified women to make the quota work.

"Women have never been as well educated as they are today," Maas said.

The proposal has been a bone of contention among some members of Merkel's grand coalition. The Christian Social Union (CDU), the Bavarian sister party of Merkel's CDU, was among the biggest critics of the female boardroom quota. The CSU had called for the implementation of the quota to be postponed, as well as exceptions for certain companies built into the legislation, fearing that it could damage Germany's economy.

Taken from HERE.

9 comments:

  1. An evolution of mindset have arose between people all over the world. It is not weird for women being in place in which they would not have been in a couple of decades ago. The rights that are upheld by people proves the increase of morality and decency between individuals. So what should happen, is that people should not think awkwardly about a women in a spot where a men would be a couple of decades ago. But does creating a quota, contradicts the main meaning of equality? In this case, why would the German cabinet create a quota as if they do not want more than 30% of their cabinet being women, basically saying that men are still better than women but they are sacrificing the 30% to find potential in women as if they were none. If they were trying to prove the equality, then they should just let everyone enroll no matter the gender and accept them if they are capable of. In this sense then it would not matter if the cabinet consists of 80% male or female because it would show that the ones that are chosen are the best ones and not forced because of the quota.

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  2. I support the right for women to have the same job opportunities as men do. Truthfully these last few decades after the second wave feminist movement has had a massive impact on society in that it is more transparent about having women being in a high position in the workplace, things like this were far too uncommon no more than fifty years ago. My only gripe with this is that the possibility of the women who would be filling this quota are appointed because of just that, filling the quota, and not because of their exceptional performance or their qualifications that would earn them the position. Saying that 30% of all members of the boardroom are mandatory to be women makes it possible that they are excluding the men who have better qualifications or are better prepared and trained for the position.

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  3. For my disclaimer, I fully support gender equality between man and women all field like business, politic, studies, and more. But I think what German cabinet choice to approve female boardroom quota legislation is really bad idea. Maybe they think that by providing special quota on boardroom for female will create gender equality in workspace but sadly I think it’s not. Gender equality is about equality in opportunity not equal outcome that many hardcore feminist believe. This kind of policy will only cripple businesses that already have a structure on who will be on top. It come to my attention some people still believe that the reason that a lot of man in the higher position than women because stereotype or inequality by gender. Companies always think at the margin, means they always think the best for the business not from culture or believe that under value women in work force.

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  4. As time flies, as more people become educated, there should be no difference between men and women in terms of their intellectual skills. We know that there is a research proving women are actually smarter. I can say that the German cabinet has done a breakthrough in terms of diminishing inequality between men and women. I support the cabinet's decision because I think that it is time we empower women. Women can also be the source of innovation in businesses because their ability to think more critically than men. Personally, this should also be followed by all countries in order to diminish inequality in their area. Indonesia also empower women in the political field. There is a minimum percentage for each political party in terms of the female members. If the political party does not fulfill the requirements, they are not able to register their party to KPU. With both examples, we can say that people are now being more open towards female power than before.

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  5. In the past decades, women equality was one of the biggest issue to be discussed about. So many things that can be talked about women equality, because back then, there is still a gap between the rights of men and rights of women. Most women back then can’t do anything aside from doing the houseworks, chores, and taking care of their children. They can’t even work, because working was considered as men’s task to do, and taking care of the household was women’s. In my opinion, right now women equality is far more better than back then. So many women fight for their equality in every aspects. Until right now, there are so many changes about women equality compared to the past few decades. Having a women in the parliament is, in my opinion, a good thing to do, because in the discussion or a board meeting, you can’t discuss only with men’s point of view, which we did back then, we also have to listen to the women, who also have the same right as men do, and in some case, have a greater idea than the men.

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  6. This is just a great move made by the German cabinet to make a huge and strong statement that they are not living in an traditional way of working anymore. Time has changed. There are just too many advancements especially in technology in our era. With advanced technologies, come good education. And in a vast and rapid globalization era right now, more people are able to get more advanced knowledge. Thus, gender is not even a boundary anymore. Anybody can learn anything. Not to forget that women born has the higher tendency to concern about something. I am not saying that men do not worry about anything, but it is a fact in the society that women commonly think more critically. The quota of women in the cabinet or a business company is really a supportive move to thrive for gender equality. One thing that really concerns me is that the quality of women that is applied for job should be sufficient. So it is not just acquiring the 30 percents of the total member only to follow the regulation, instead we have to make sure the women in jobs are welll-qualified.

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  7. I believe in equality for men and women in all fields of works. It took women a lengthy struggle that lasted a few decades to earn the rights they hold right now. And I personally feel that there are two sides to this case. For one, diversity in the workforce is great to see. Furthermore, there are now more women who could potentially earn more than they used to along with that more work opportunity for women. But then there are also drawbacks to this. This situation means that women are essentially guaranteed a spot for a job at a firm, company, corporation, etc. This aspect feels as if their title was given and not earned. Other than pride, it potentially hurts their reputation too. Overall, I think that this is a step in the right direction that has good intentions. But I personally think that it has its effect on the image of the person involved.

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  8. Setting a minimum quota for women at companies as a move to improve workplace equality might have its positive and negative aspect. Personally, I support equality for women as I believe both men and women deserve equal appreciation for the things they’ve done. The world is changing in a better way toward women’s equality as it is being promoted around the globe and people are starting to realize the importance of it. But, improving equality at the workplace might not be as simple as setting a minimum quota for companies. Yes, most of the companies nowadays consist of mostly male employees the ratio for this is quite high maybe the ratio is even higher for those of a higher position. Giving a minimum quota might not solve this problem necessarily, as it does advocate women to work but it might not feel “equal” for men even though the requirements are only 30%. As with this regulation, If I interpret it correctly, it is not acceptable for a company to consist of less than 30% employee but it is acceptable for a company to have less than 30% male employee, even no male employee at all is acceptable. Personally, I think companies have the right to recruit those who are capable and best suited for the job regardless of their gender. But I’m not quite sure as to the effect of this decision because I didn’t really understand how big is this issue in Germany.

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  9. I agree that men and women should get the equal chance to pursue education and carrier, but the flaw lies on the violation of meritocracy in the quota system itself. Companies and institutions normally hire employee based on their ability to maximize the productivity of the working condition in order to increase their profit. If the government set the quota system, the possible worst case scenario is women that actually have inadequate ability should be hired to fulfill the quota. What will occur are: the productivity of the company is decreased and men that have enough capability are rejected due to this policy. This is where the merit of those men can be hindered because of the system. The condition is now more right or opportunity is given for women compared to men –not balanced as we wish to. Thus, the problem should be solved from its root. Not setting quota in business nor cabinet, but to enhance education and training for woman to counterbalance the ability of man in the working field. If the root of the problem has already been fixed, the further development and improvement will follow henceforth.

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