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The current situation of gender equality in the Former Yugoslav Republic of Macedonia (FYROM) –

Country Profile

2012

The current situation of gender equality in the Former Yugoslav Republic of Macedonia (FYROM) –

Country Profile

2012

This country fiche was financed by, and prepared for the use of the European Commission, Directorate-General Justice, Unit D2 “Gender Equality” in the framework of the service contract managed by Roland Berger Strategy Consultants GmbH in partnership with ergo Unternehmenskommunikation GmbH & Co. KG. It does not necessarily reflect the opinion or position of the European Commission, Directorate-General Justice neither the Commission nor any person acting on its behalf is responsible for the use that might be made of the information contained in this publication.

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Table of Content

Foreword .......................................................................................................... 03

Management Summary ..................................................................................... 04

1. How companies in the Former Yugoslav Republic of Macedonia access the talent pool ........................................................................................................ 05

1.1 General participation of women and men in the labour market .............. 05

1.2 Part-time segregation of women and men .............................................. 06

1.3 Qualification level and choice of education of women and men .............. 07

1.4 Under-/overrepresentation of women and men in occupations or sectors – " Horizontal segregation" .................................................................... 08

1.5 Under-/overrepresentation of women and men in hierarchical levels – "Vertical segregation" ............................................................................ 10

1.6 Gender pay gap ....................................................................................... 10

2. How to gain better access to the talent pool

................................................. 11

3. Where companies find support to gain better access to the talent pool - Examples .......................................................................................................... 14

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Foreword

Dear Reader,

We are happy that we have raised your interest in the EU-Initiative "Equality Pays Off". The initiative supports large companies in successfully adapting to upcoming labour market challenges: Due to demographic change, Europe will face a significant shortage of (qualified) skills in the next decades. The initiative covers all EU-27 countries plus Croatia, Turkey, Former Yugoslav Republic of Macedonia (FYROM), Serbia, Norway, Iceland and Liechtenstein – in total 34 countries.

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To secure qualified labour, it will be of vital importance for large companies to diversify the pool of (potential) employees by gaining better access to the female labour force. The initiative supports companies in Europe to increase female participation, to support employees that involuntarily work part-time due to family obligations, to motivate students to enter atypical fields of education and to reduce horizontal1 as well as vertical segregation2. Consequently, the initiative contributes to a reduction of the gender pay gap in Europe.

This country report serves as background material for workshops taking place in each country in the context of "EQUALITY PAYS OFF".3 These workshops shall enhance knowledge exchange between business leaders and key decision-makers of participating companies. The quick and country-specific overview of the status quo will serve as a basis to explore starting points for each company to tap the female talent pool in a better way.

The country report is structured into four parts: After the management summary, Part 1 describes the status quo of gender equality in the labour market of the Former Yugoslav Republic of Macedonia. Part 2 describes our recommended strategic approach to gain better access to female talent in the labour market and within a company. Part 3 lists initiatives of the public and private sector in the Former Yugoslav Republic of Macedonia that support companies in their ambition to enhance gender equality.

Further information on the EU-Initiative and its respective activities as well as on involved stakeholders can be found at http://ec.europa.eu/justice/equality-pays-off.

1 Horizontal segregation refers to the under-/overrepresentation of women and men in occupations or sectors 2 Vertical segregation refers to the under-/overrepresentation of women and men in hierarchical levels 3 The information on the website has been summarized in this country report. Detailed information can be found on the website: http://ec.europa.eu/justice/equality-pays-off

http://ec.europa.eu/justice/equality-pays-offhttp://ec.europa.eu/justice/equality-pays-off

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Management Summary

Demographic change as well as a stronger focus on service and knowledge intensive industries will lead to a significant shortage of (qualified) skills in Europe. In order to fill the upcoming gap between labour demand and labour supply, companies need to improve their access to the talent pool by ensuring gender equality.

Currently, companies in the Former Yugoslav Republic of Macedonia do not make full use of the existing female labour force potential. Five groups of indicators show the status quo in 2011:

• The general participation rate of women in the labour market of the Former Yugoslav Republic of Macedonia equals 35.3% and is significantly below EU-average (58.5%) – the share of women actively looking for work (31%) exceeds the EU-average by far (both 9.8%)

• The rate of women working part-time (6.7%) lies significantly below EU-average (31.6%) – the female average part-time weekly working hours, however, are higher in the Former Yugoslav Republic of Macedonia (22) than on EU-average (20)

• College/university (tertiary education) attainment of women equals 15.0% and lies below the EU-average (24.8%) – also, high school students generally choose gender typical fields of study

• The under-/overrepresentation of women and men in occupations or sectors 1) is pronounced in the Former Yugoslav Republic of Macedonia as well as in the EU-27 – it is necessary to motivate graduates to enter gender atypical sectors and also occupations

• The under-/overrepresentation of women and men in hierarchical levels 2) is ambivalent – the proportion of women on supervisory boards (15%) lies above EU-average (14%); women hold 29% of management positions in the Former Yugoslav Republic of Macedonia, which is slightly below EU-average (33%)

There is no official data available for the unadjusted gender pay gap in the Former Yugoslav Republic of Macedonia.

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1. How companies in the Former Yugoslav Republic of Macedonia access the talent pool

In the following, we give a brief overview over the current situation of employment in the Former Yugoslav Republic of Macedonia in comparison to the overall EU-27 average.

1.1 General participation of women in the labour market4

The employment rate of women in the Former Yugoslav Republic of Macedonia (35.3%) is significantly below the EU-27 average (58.5%) and also significantly below the rate of men (52.3%). The rate of women actively looking for work equals 31.0% and is almost as high as the rate of women employed.

Figure 1: Labour market participation of women and men in the Former Yugoslav Republic of Macedonia in comparison to the EU-27

One reason for the low participation rate of women is that care and family duties are traditionally attributed to women. Not only care for children but also for elderly family members is usually carried out by women, also due to a lack of care facilities5. Hence, offering corporate (child-)care facilities or providing assistance for employees with family care duties could be a starting point for companies in the Former Yugoslav Republic of Macedonia to enable a larger participation of women in the labour market.

4 Source for statistical data (unless stated otherwise): Eurostat Labour Force Survey (LFS) (2002, 2010)

5 European Training Foundation, Barriers to labour market participation of women in the Former Yugoslav Republic of Macedonia, 2008

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1.2 Part-time segregation6

6.7% of female employees in the Former Yugoslav Republic of Macedonia work part-time. This figure has decreased slightly since 2002. The male part-time rate has also decreased since 2002 and now equals 5.5%. Both the rate for women and the rate for men are below EU-average (31.6% and 8.1%). Keeping in mind the high rate of women actively searching for work, offering more flexible work-time arrangements could be a means for companies from the Former Yugoslav Republic of Macedonia to enable a larger participation of women in the labour market.

Male and female part-time employees in the Former Yugoslav Republic of Macedonia work more hours than the EU-27 average in 2011, however, the average working hours have been decreasing for both men and women since 2002.

Figure 2: Part-time segregation in the Former Yugoslav Republic of Macedonia in comparison to the EU-27

6 Source for statistical data (unless stated otherwise): Eurostat Labour Force Survey (LFS) (2002, 2008, 2010)

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1.3 Qualification level and choice of education7

Secondary and tertiary education attainment of men and women has risen in the Former Yugoslav Republic of Macedonia in the last decade (see figure 3). Still, the attainment of secondary as well as tertiary education of women lies significantly below EU average. In the Former Yugoslav Republic of Macedonia, as well as in the EU-27, women attain tertiary education more frequently than men (2011). Therefore, highly qualified women offer a great potential for companies in the Former Yugoslav Republic of Macedonia to enlarge their potential talent pool.

Figure 3: Education attainment in the Former Yugoslav Republic of Macedonia in comparison to the EU-27

In the Former Yugoslav Republic of Macedonia, the existence of "typically female" fields of study as well as "typically male" fields of study remains predominant. Women are especially overrepresented compared to men in Teaching and Healthcare (73.5% and 72.6% female students), even though the share of women in these fields of studies is lower than on EU-average. The share of women in "typically male" fields of study is significantly higher than the EU-average in engineering (33.7% vs. 25.0%) but lower in science, maths and computing (35.6% vs. 37.6%).

7 Source for statistical data (unless stated otherwise): Eurostat Education and Training (2002, 2010)

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Figure 4: Share of women in different fields of education in the Former Yugoslav Republic of Macedonia in comparison to the EU-27

1.4 Horizontal segregation8

The distribution of women and men across the sectors of the economy of the Former Yugoslav Republic of Macedonia as well as the EU-27 shows a gender bias. Although the three most popular sectors of women are equal to those of men in the Former Yugoslav Republic of Macedonia, the following sectors show a strong gender bias. In the Former Yugoslav Republic of Macedonia, 9.5% of all employed women work in the sectors "health care and social work" and the same number works in "education". For men, the following sectors are "construction" and "public administration" with 9.4% and 8.0%.

Figure 5: Distribution of Employment in the main NACE-2 digit sectors (2010)

% of women employed in Macedonia EU-27

Manufacturing 22.6 10.3

Agriculture, forestry & fishing

18.1 3.9

Wholesale & Retail 16.3 15.3

Health & Social Work 9.5 17.8

Education 9.5 11.7

Accumulated concentration 76.0 58.9

% of men employed in Macedonia EU-27

Agriculture, forestry & fishery

18.1 5.4

Manufacturing 17.6 20.5

Wholesale & Retail 12.8 13.1

Construction 9.4 12.9

Public administration 8.0 7.2

Accumulated concentration 65.9 59.1

Source: Eurostat LFS (2010), RB Calculations

8 Source for statistical data (unless stated otherwise): Eurostat Labour Force Survey (2010)

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Apart from the most popular occupation, which is "Agriculture, forestry and fishery labourers", the distribution of women and men across occupations is additionally characterised by a strong gender bias. One quarter of all employed women in the Former Yugoslav Republic of Macedonia work as "assemblers" or as "sales workers" followed by occupations such as "clerks" and "teaching professionals". Men, on the other hand, are predominantly employed as "building workers", "personal service workers" or "drivers and mobile plant operators".

Figure 6: Distribution of Employment in the main ISCO 3-digit occupations (2010)

% of women employed in Macedonia EU-27Agriculture, forestry & fishery labourers 18.2 0.6

Assemblers 14.0 2.3

Sales workers 11.0 8.0

General and keyboard clerks 8.0 12.7

Teaching professionals 6.0 6.3

Accumulated concentration 57.3 29.9

% of men employed in Macedonia EU-27

Agricultural, forestry and fishery labourers

15.8 0.9

Building and related trades workers 8.1

9.9

Personal service workers 7.9 5.4

Drivers and mobile plant operators

7.7 7.4

Metal, machinery and related trades workers 6.9 8.6

Accumulated concentration 46.4 32.2

Source: Eurostat LFS (2010), RB Calculations

In order to compare the extent of horizontal segregation in the Former Yugoslav Republic of Macedonia with the overall EU-27 average, a horizontal segregation indicator is calculated: The occupational Gender Segregation Indicator (OGS)9.

• The extent of occupational gender segregation (OGS) in the Former Yugoslav Republic of Macedonia (3.9 pp) is significantly lower than the overall OGS of the EU-27 (4.6 pp). Nevertheless, the Former Yugoslav Republic of Macedonia needs to focus on motivating women to enter "typically male" economic occupations and men to enter "typically female" occupations

9 Comparing the share of female employees that work in one occupation to the share of male employees that work in the respective occupation shows the extent of gender segregation in that specific occupation. For instance, a strong gender segregation exists in the occupation "Assemblers": 14.0% of female employees in the Former Yugoslav Republic of Macedonia work in this occupation while only 2.3% of male employees work in the occupation (difference in percentage points: 11.7 pp). The Occupational Gender Segregation Indicator (OGS) reflects the weighted average difference in absolute percentage points (share of all male employees in an occupation [%] minus share of all female employees in resp. occupation [%]) across all economic sectors.

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Figure 7: Horizontal Gender Segregation Indicators

1.5 Vertical segregation10

In comparison to the EU-27 average, the Former Yugoslav Republic of Macedonia has a good stand regarding the share of women on corporate boards. Companies in the Former Yugoslav Republic of Macedonia succeeded in increasing the rate of women on boards of large companies from 10% in 2008 to 15% in 2012. This number now exceeds the EU-27 average by 1 pp.

The share of women in (executive) management positions in large companies and SMEs (29%) is lower than the EU-27 average (33%) in 2008. Companies in the Former Yugoslav Republic of Macedonia therefore need to continue promoting women into top management positions.

Figure 8: Women in economic decision-making positions

1.6 Gender pay gap11

No official data exists for the gender pay gap in the Former Yugoslav Republic of Macedonia. Different studies indicate a gender pay gap between 15% and 25%12.

10 Source for statistical data (unless stated otherwise): EC DG Justice; Horizontal and vertical segregation - Meta-analysis of gender and science research, 2010 11 Source for statistical data (unless stated otherwise): Eurostat Structure of Earnings Survey (2009,2010)

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2. How to gain better access to the talent pool?

More gender equality within the business sector and a reduction of the gender pay gap can only be sustainably realised if companies follow a comprehensive approach including corporate strategy, management, operational implementation by business units and HR work organisation and monitoring ("strategic pillars"):

Focusing on merely one pillar will lead to partial improvements only.

Corporate Strategy – Establish gender equality as part of the company's DNA

The corporate strategy sets the framework for doing business and determines the internal work culture. Experience shows that gender equality – in order to be sustainably established – has to be(come) a company rationale: The concept of gender equality has to be an integral part of the overall corporate strategy. This is the foundation for successfully addressing the gender pay gap within a company.

Management – Understand and position management as driver and role model

A management which is convinced of and fully endorses the company's strategy towards gender equality is vital to sustainably establish and live the principles of equality between women and men throughout the company and to contribute to a sustainable reduction of the gender pay gap. The management is responsible for the implementation of the corporate strategy. Also, managers act as role models and multipliers within and outside the company.

12 EC DG Justice, Exchange of good practices on gender equality, Former Yugoslav Republic of Macedonia, 2011

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Operational implementation – Business units and HR striving for more gender equality in daily work

• Business units are responsible for operationalising strategic targets regarding gender equality by actually implementing measures which have been agreed upon in their daily work, e.g. by offering internships. They contribute to a sustainable attraction, retention and development of employees.

• HR – as central point of contact for human resource issues of business units – offers strategic advice on how to address gender equality sustainably and provides instruments and processes to attract, retain and develop top talent, e.g. by designing regular evaluation processes.

There are six main fields of action for operational implementation:

• Raise awareness among high school graduates regarding the full spectrum of fields of education - To enlarge the potential talent pool, companies need to sensitise high school graduates regarding the full spectrum of fields of education and hereby motivate them to also consider gender "atypical" fields of specialisation.

• Attract top talent irrespective of gender – To attract top talent, companies need to build up a relationship with talented graduate students early on and show them how it is to work in their company. Additionally, they need to tap the dormant work force by mobilising women to start working.

• Strengthen the work-life balance – To retain the talent pool, companies need to motivate talents to continue working, to return early from leave and to facilitate the career advancement of employees with family care obligations.

• Promote career advancement of women – To promote the most qualified female employees, companies need to establish a culture and promotion process that equally honours male and female talent and institutionalise a systematic succession planning.

• Evaluate the remuneration system from a gender perspective – To attract and retain female employees, companies need to evaluate and – if necessary – adapt their remuneration system to eliminate discriminatory practices.

• Communicate internally and externally company activities aimed at tapping the talent pool in a better way – To maximise the positive impact of their efforts to champion gender equality, companies need to communicate their actions enhancing corporate gender equality internally and externally.

Work Organisation – Create the framework to enable necessary changes

Often, workflows within the company are organised in a way which does not easily allow for necessary changes towards more gender equality. This especially refers to the flexibility of the working environment. In the context of this project, flexibility comprises working hours, workplace options and work arrangements. It is therefore vital to evaluate the organisation of current business activities and requirements systematically and identify room for change in favour of employees but beneficial for both parties (employers and employees).

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Monitoring – Monitor and follow up target achievements

To ensure that gender equality is taken seriously, companies need to monitor gender equality targets in the same way as financial targets. Monitoring should include indicators that measure company-wide progress regarding corporate efforts to enhance gender equality as well as the success of individual managers in promoting gender equality in their departments/teams. Additionally, it should be part of regular feedback talks with the top management.

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3. Where companies find support to gain better access to the talent pool - Examples

In order to foster a sustainable change towards accessing the labour force potential of women in a better way, a series of public and private initiatives – with legislative and non-legislative focus - have been implemented in the Former Yugoslav Republic of Macedonia. In the following we give an overview over sample initiatives:

3.1 Legislative initiatives (examples)

Year Legislation Website Link 1991 УСТАВ НА РЕПУБЛИКА МАКЕДОНИЈА (Constitution of the Former Yugoslav Republic of

Macedonia), stipulates the right of all employees to appropriate remuneration http://www.constitutionalcourt.mk/domino/WEBSUD.nsf

1993, latest amendment 2010

ЗАКОН ЗА РАБОТНИТЕ ОДНОСИ (Labour Relations Act), regulations on maternity leave and special protection of female employees, stipulates equal pay for equal work regardless of gender and regards unequal pay based on gender as punishable discrimination (in labour law since the amendment of 2005)

http://www.mtsp.gov.mk/WBStorage/Files/PT_Zakon_za_Rabotnite_odnosi_158_09122010.pdf

2006 Закон за еднакви можности на жените и мажите (Law on Equal Opportunities of Women and Men), measures and regulations regarding equal opportunities of women and men and prohibition of discrimination

http://www.unhcr.org/refworld/type,LEGISLATION,,MKD,44b26f664,0.html

Year Legislation Website Link

http://www.constitutionalcourt.mk/domino/WEBSUD.nsfhttp://www.mtsp.gov.mk/WBStorage/Files/PT_Zakon_za_Rabotnite_odnosi_158_09122010.pdfhttp://www.unhcr.org/refworld/type,LEGISLATION,,MKD,44b26f664,0.html

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3.2 Public non-legislative initiatives (examples)

Name Sponsor Target Group Target Website Link НАЦИОНАЛЕН ПЛАН ЗА АКЦИЈА ЗА РОДОВА РАМНОПРАВНОСТ National Action Plan on Gender Equality (2007-2012)

Влада на Република Македонија (Government of the Former Yugoslav Republic of Macedonia)

Former Yugoslav Republic of Macedonia

Implement gender dimension in all policy areas in order to improve the status of women and provide support for gender equality through defining principles and measures for the protection and promotion of women

http://sgdatabase.unwomen.org/uploads/National%20Action%20Plan%20on%20Gender%20Equality%202007-2012.pdf

http://www.mtsp.gov.mk/WBStorage/Files/NPARR-finalen%20dokument.pdf

Unit for Promotion of Gender Equality (UPGE)

Министерството за труд и социјална политика (Ministry of Labour and Social Policy)

Former Yugoslav Republic of Macedonia

Direct and coordinate national activities on gender equality on international level; coordination role for projects on gender equality; monitor international law on gender equality

http://www.unece.org/fileadmin/DAM/Gender/documents/Beijing+15/FYROM.pdf

Department of Equal Opportunities

Министерството за труд и социјална политика (Ministry of Labour and Social Policy, undersection of the Unit for Promotion of Gender Equality)

Women Create equal opportunities for women in all areas of society; improve the status of women

http://www.mtsp.gov.mk/WBStorage/Files/Sektor_za_Ednakvi_moznosti_ENG[1].pdf

Name Sponsor Target Group Target Website Link

http://sgdatabase.unwomen.org/uploads/National%20Action%20Plan%20on%20Gender%20Equality%202007-2012.pdfhttp://www.mtsp.gov.mk/WBStorage/Files/NPARRfinalen%20dokument.pdfhttp://www.unece.org/fileadmin/DAM/Gender/documents/Beijing+15/FYROM.pdfhttp://www.mtsp.gov.mk/WBStorage/Files/Sektor_za_Ednakvi_moznosti_ENG[1].pdf

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3.3 Private initiatives (examples)

Name Sponsor Target Group Target Website Link Здружението за еманципација, солидарност и еднаквост на жените на (Association for Emancipation, Solidarity and Equality of Women of Macedonia)

Non-governmental organisation that cooperates with the Ministry of Labour and Social Policy

Women Improve the general situation of women and their representation in decision-making positions in the Former Yugoslav Republic of Macedonia

http://www.esem.org.mk/Root/mak/default_mak.asp

Programme on women´s political strengthening

Union of Women´s Organizations of Macedonia (UWOM)

Women Promote women's possibilities for involvement in decision-making structures; create gender image in the society

http://www.wave-network.org/start.asp?ID=20960&b=151

Programme on economic empowerment of women

Union of Women´s Organizations of Macedonia (UWOM)

Women Empowerment of women in order to enable them to find appropriate jobs

http://www.wave-network.org/start.asp?ID=20960&b=151

http://www.sozm.org.mk/

Жените во македонската економија (Women in the Macedonian Economy)

Реактор (Reactor Think Tank in cooperation with the Macedonian Center for European Training)

Women Improve policies in regard to women, establish effective cooperation between civil society organisations, promote economic rights of women

http://www.reactor.org.mk/NewsDetails.aspx?id=15&&newsID=52

http://www.reactor.org.mk/NewsDetails.aspx?id=15&&newsID=52

Name Sponsor Target Group Target Website Link

http://www.esem.org.mk/Root/mak/default_mak.asphttp://www.wave-network.org/start.asp?ID=20960&b=151http://www.wave-network.org/start.asp?ID=20960&b=151http://www.sozm.org.mk/http://www.reactor.org.mk/NewsDetails.aspx?id=15&&newsID=52http://www.reactor.org.mk/NewsDetails.aspx?id=15&&newsID=52

The current situation of gender equality in the Former Yugoslav Republic of Macedonia (FYROM) – Country Profile 2012Table of Content Foreword Management Summary 1. How companies in the Former Yugoslav Republic of Macedonia access the talent pool1.1 General participation of women in the labour market1.2 Part-time segregation1.3 Qualification level and choice of education1.4 Horizontal segregation1.5 Vertical segregation1.6 Gender pay gap

2. How to gain better access to the talent pool?Corporate Strategy – Establish gender equality as part of the company's DNAManagement – Understand and position management as driver and role model Operational implementation – Business units and HR striving for more gender equality in daily workSix main fields of action for operational implementation

Work Organisation – Create the framework to enable necessary changesMonitoring – Monitor and follow up target achievements

3. Where companies find support to gain better access to the talent pool – Examples3.1 Legislative initiatives (examples)3.2 Public non-legislative initiatives (examples) 3.3 Private initiatives (examples)