Women in Tech: Why the “Big Quit” is a Big Deal

Every year, tech becomes more in need of talent, especially underrepresented women. Over 3/4 of tech decision makers say they are facing critical skills gaps, a 145% increase since 2016. Over half say they have a position unfilled and 38% are struggling to find the right candidates for three+ job posts.

Women’s technical propensities are being undertapped and the belonging divide continues to inhibit participation at different hurdles. Far fewer women who majored in computer science (38%) are working in the field compared to men (53%). Women hold a low share of tech roles – 16% in engineering and 27% in computing. They hold 28% of leadership roles, per BCG, and in the biggest 1,000 tech companies, only 18% of CFOs or CIOs are women. Between 2019 to 2021, the number of U.S. tech managers increased by 9%, but the share of women went down by 2% points.

But on a global level, Deloitte estimates that the overall tech workforce has increased 6.9% from 2019 to 2022, while share of tech roles is up by 11.7%. They project a gain of nearly 20% for women in leadership, stating 1 in 4 leadership roles at global tech firms would be held by women in 2022, a 4% increase.

In no where more than tech right now is diversity needed to help debias the technologies that are ever more pervasive in our daily lives. Not only that, but women in tech matters to the bottom line relative to competitors. The most gender-diverse companies are 48% more likely to financially outperform the least gender diverse. Companies with good representation of women at the top earn up to 50% higher profits and share performance.

Job Satisfaction, Work-Life and Retention

According to Deloitte’s Women @ Work global survey, among women, satisfaction with work-life balance has dropped to 32% from 70% before the pandemic, and in every category – productivity, mental well-being – satisfaction has dropped by double digits. Half of women in tech drop out by mid-career and women comprise less than 1/4 of senior roles. Women leave their tech jobs at a rate 45% higher than men.

In line with the continued resignations, 57% of women in tech said they expect to leave their employer for a new role within 2 years—with work-life balance as the biggest reason and Deloitte says 22% are considering leaving the workforce altogether. In a BCG survey, 73% of digital workers said that they expected to leave their job in the next two to three years, and 40% were job-searching.

Retention is also an issue in the tech C-suite. While men across Amazon, Apple, Google, Meta and Microsoft average eight years in executive roles, women stay for only 6.4 years. And while White execs last eight years on average, that’s five for Asian leaders, six for Black leaders, and four for Hispanic leaders.

Different Experiences of Hybrid/Remote Workplace in Tech

According to BCG research, the impact of the pandemic had different impacts for different women in tech. Midlevel women particularly found that work-from-home arrangements made their managerial work easier – such as chairing meetings, influencing decisions and delegating work, and they were even promoted at rates above midlevel men. Midlevel men found those same tasks had become more difficult, suggesting that some of the gender bias is neutralized in the remote workplace.

Women of color (47%) were more likely to report that it was more difficult to connect with mentors and sponsors in the remote setting than white women (35%). Both men and women of color reported less frequent and valuable interactions than their white peers, and women of color (41%) were more likely to report a negative impact on work-life balance than white women (28%) – suspected in part to be impacted by caring for family members other than children.

Senior women (36%) were more likely than senior men to switch jobs (31%), but they were less likely to get a pay increase (39% versus 50%) after doing so. After the pandemic, having a good work-life balance jumped ahead of financial compensation as the top priority for senior women.

Reset Tech Culture Towards Inclusion

Tech firms are still judged as “bro cultures” by many women, and it’s been substantiated that a widespread cultural reset is what is needed to get women back into tech and feeling they fully belong, again. Ipsos research in the UK indicated that 58% of women said that visible role models are one of the things that attract them to organizations, but many noted the lack. 83% of tech women in the UK rate an inclusive manager and 76% rated an inclusive culture as important for joining a tech firm.

But a culture of inclusiveness is not created only by an atmosphere of belonging and being valued, if it doesn’t show up tangibly in action throughout the career journey. It as good as an organization’s ability to remove bias from access to development opportunities, promotions, pay and leadership so that women can participate and advance to their full potential. Next week, we will focus in more on actions that organizations can take.

By Aimee Hansen