The rise of women in the labor market and singleness

An American study suggests that by 2030, 45% of women will be without partners and children

The ascent of women in the labor market and singleness is already underway in Spain. An American study by the global financial services company Morgan Stanley has gathered data indicating that by 2030, 45% of American women will be without partners and children. This phenomenon is referred to as the 'ShEconomy,' and it is justified by the expanding gender equality in companies and the labor market in general.

The report addresses the growing population of women aged 25-44 in the United States who are single because they prefer to focus on their professional careers. As a result, there is a significant female representation in the workforce. These female workers have laid the foundation for greater gender equality in work environments. They will help maintain wage gap equality between men and women in corporate companies. Areas such as education, professional advancement, income growth, and consumer power also benefit from their contributions.

And what about Spain?

Currently, this socio-economic trend is occurring because the cost of living is increasing. The financial instability of Spanish households post-pandemic, the Russia-Ukraine war that caused an increase in the Consumer Price Index (CPI), is destabilizing families. In addition, data from the National Institute of Statistics (INE) indicates that in February 2023, Spain experienced an inflation increase of 6.1%, two-tenths higher than that recorded in January.

This evolution is due to the rise in the prices of supplies. Food and non-alcoholic beverages have also increased. It is also worth noting the rise in interest rates by the European Central Bank (ECB), which had a significant impact on the real estate market and, consequently, on housing prices.

Women in the labor market and singleness

It's more expensive to have a family and maintain household stability. Therefore, more women are delaying marriage, postponing pregnancy, or having fewer children than in the past. Changing lifestyle norms are driving women to seek financial independence. That's why they are becoming more interested in professional advancement in the labor market.

According to INE data, there are 11,307 million couples in Spain, including married and common-law couples. As for singles, there are more than 14 million single individuals. There are over 80,187 single women at the age of 25, while women at the age of 44 account for 21,536 singles.

On the other hand, only 4.7 million singles live alone. In terms of rent, home purchase, or weekly expenses, singles face costs that they may struggle to maintain unless they were in a relationship.

Housewives are also choosing to remain single or get divorced in their 50s and 60s. In 2022, the statistics on annulments, separations, and divorces (ENSD) in Spain showed a 12.5% increase compared to the previous year, separations increased by 32.4%, and annulments rose by 42.5%.

The 'ShEconomy' in Spain

The active population of employees in Spain reached 23 million people in 2022, despite data from the Annual Labor Force Survey (EPA) conducted by the INE. Statista's database indicates that out of this population, 19 million people were employed, and more than nine million were women. Female participation in the labor market was at 50% as of 2022.

The economy target are single women as consumers

Currently, women already control a significant portion of the wallets of American consumers. According to the American Progress, women contribute an estimated $7 trillion to the GDP (Gross Domestic Product) of the United States. The MRI-Simmons survey also points out that they are the primary buyers in households.

The cost of gender inequality for Spain

The Closingap report, conducted by PwC, analyzes the economic impact of gender gaps and their consequences. They directly and indirectly investigate the sectors of Employment, Education, Work-Life Balance, Digitalization, Health, and Well-being, comprising the personal and professional development of society between men and women.

Women represent 51.4% of the working-age population but only generate 41.5% of the Spanish GDP. In other words, despite the progressive incorporation of women into the labor market, the number of hours worked is still not equitable compared to the hours worked by men. If the working hours between both genders were equalized, Spain's GDP could grow by up to 7.5%, resulting in an increase of €230,847 million, which is 18.5% of the Spanish GDP. Therefore, women in the labor market and singleness still have a long way to go.