Gender Equity in ESG: Are We Closing the Gap?

Step into any boardroom or investor summit in 2025, and the phrase “gender equity” is likely to echo somewhere between the quarterly numbers and the sustainability report. But here’s the question that cuts through the corporate speak:

Are we actually closing the gender gap, or are we just getting better at documenting its existence?

The social pillar of ESG — the one that promised fair workplaces and inclusive leadership — is in the spotlight. Yet many ESG reports still speak of gender equity in abstract metrics, not lived realities.

Gender Equity in ESG: The Numbers Speak Loudly

Let’s break it down with some facts:

• Women make up 39 percent of the global workforce.

• But they occupy only 28 percent of senior management roles.

• In the Fortune 500, only 10 percent of CEOs are women — and less than 2 percent are women of color.

• Around 60 percent of ESG reports include some form of gender data.

• Yet just 24 percent address gender pay equity.

• And only 18 percent attempt to measure promotion bias.

So while diversity dashboards are ticking boxes, the gap between access and influence remains painfully wide.

Gaps in Gender Metrics Coverage in ESG Reporting

The ESG Ratings Dilemma

Many companies score high on ESG rankings while doing surprisingly little to advance gender parity. Why? Because ESG assessments often reward the presence of policies — not the effectiveness of those policies.

Having a gender diversity policy might improve a score. Proving that it changes career outcomes for women? That’s still optional.

A global review in 2024 by the World Benchmarking Alliance found that more than half of the so-called ESG leaders had no women on their executive committees.

That’s not leadership. That’s lip service.

When Policies Don't Deliver

Consider a European financial institution celebrated for its balanced hiring practices. Their ESG report glowed. Yet in early 2024, internal whistleblowers revealed that women in similar roles earned just 76 percent of what their male colleagues made. Promotion into leadership roles slowed drastically after maternity leave.

The company responded by enhancing its branding. The score? Unchanged.

Until ESG frameworks prioritize impact over intent, stories like this will continue.

Where It’s Working

Progress is not a myth. It’s just not evenly distributed.

Unilever India achieved gender parity in leadership roles by tying executive bonuses to gender balance goals.

Accenture publicly tracks pay equity, promotion rates, and leadership representation by gender, leading to a 34 percent increase in women executives since 2019.

Nasdaq introduced a “comply or explain” rule in 2024, pushing companies to disclose board diversity or explain why they won’t.

These moves show that when you measure what matters, change follows.

Three Questions to Ask Today

1. Is your company measuring outcomes or just tracking headcount?

2. Are equity metrics influencing compensation at the top?

3. Would women at your workplace agree with how your ESG report describes inclusion?

If the answer to any of these is no, then your ESG report is a marketing brochure — not a transformation strategy.

This Is the Moment to Act

If you're a business leader: Redesign your ESG metrics to include gender pay equity, leadership promotion data, and retention rates across job levels.

If you're an investor: Challenge ESG ratings that reward talk over tangible outcomes.

If you're a regulator: Mandate transparency in gender equity metrics. Voluntary disclosure has had its chance.

And if you’re a woman wondering why, even now, it still feels like the ceiling is made of glass and the ladder is missing a few rungs — know this:

The future is not written. But it is being reported.

Let’s make sure it tells a story worth believing in.