The competitiveness of the Nordic region depends on how well it can develop, use and renew the skills and talent available across societies. A new analysis shows that gender equality is an important part of this – and that persistent gender inequalities across a number of sectors is hindering the Nordic region in fully realizing its competitive potential.

The report  How can Nordic competitiveness benefit from gender equality? commissioned by the Nordic Council of Ministers and prepared by NIKK, examines how gender equality affects the Nordic region’s competitiveness. 

The report finds that gender inequalities can lead to an inefficient use of skills and resources across the economy, with consequences for productivity, innovation and the labour market. This is particularly relevant as the Nordic region faces labour shortages and major changes in the digital and green economy. 

– Gender equality is part of the foundation for a competitive Nordic region. When talent is not given equal opportunities to contribute, we are not making full use of the skills and resources available to our economies. Gender equality is therefore not just something we benefit from as a competitive region, it is part of what makes us competitive and will help us remain so, says Karen Ellemann, Secretary General of the Nordic Council of Ministers. 

Gender equality matters for the transitions ahead

Women remain underrepresented in technology and AI-related fields. The report points to the risk that AI systems trained on historical data reflecting existing inequalities may reproduce those patterns in recruitment, resource allocation and innovation. 

The green transition also requires a broad range of skills and perspectives. Research highlighted in the report suggests that organisations with more balanced representation in leadership are more likely to incorporate long-term and sustainability-related perspectives in strategic decisions. 

Care and welfare are part of Nordic competitiveness

The report also shows that welfare and social care are part of the infrastructure of the economy. Services such as childcare, eldercare and parental insurance influence labour supply and people’s opportunities to participate fully in working life. 

The unequal distribution of care responsibilities can limit how parts of the labour force participate in the economy. At the same time, demographic change is increasing the need for skilled workers in health and social care, making a broader recruitment base increasingly important, including greater participation by men. 

Nordic competitiveness high on the agenda

The analysis comes at a time when competitiveness is high on the agenda in Nordic cooperation. On 1 October, the Nordic Council of Ministers will publish a broader analysis of Nordic competitiveness. The report takes a closer look at the key drivers, challenges and future opportunities for Nordic competitiveness – and asks how the Nordic countries measure up in Europe and globally. 

This text was originally published by the Nordic Council of Ministers at norden.org