Investment in the care economy could create 300 million new jobs: UN Women

Why in the News?

• UN Women has stated that investing in care systems is not only a social necessity but also crucial for economic development and gender equality.
• According to the organization, investing in the care sector can create millions of new jobs, strengthen economies, and reduce the unequal burden of unpaid care work on women and girls.

Care Work: The Invisible Foundation of the Economy

• According to UN Women, care work-whether paid or unpaid—is the "invisible foundation" of society and the economy. Yet, this work is often undervalued, and its burden falls disproportionately on women and girls.
• The organization estimates that approximately 350 million children worldwide require childcare services. The number of people in need of care is expected to increase from 210 million in 2015 to 230 million by 2030. The need for investment in this sector is constantly increasing due to the growing ageing population and increasing demand for care.

Women bear the heaviest burden

• According to the report, women and girls spend approximately two and a half times more time per day on unpaid care work than men. Globally, 708 million working-age women (approximately 45 percent) are excluded from the labor market due to caregiving responsibilities alone. In contrast, this figure for men is only 5 percent.
• If unpaid care work is economically valued, it can contribute up to 40 percent of gross domestic product (GDP) in some countries. This demonstrates the critical role this work plays in the economy, even though it is not formally recognized.

The Care Sector Has Huge Employment Potential

• UN Women states that investments in the care sector can generate two to three times more jobs than those in the construction sector. It estimates that if governments and the private sector invest adequately in this area, approximately 300 million new decent jobs could be created by 2035.
• The organization also states that investments in the care sector are more environmentally friendly. They can be approximately 30 percent less polluting than investments in the construction sector.

Women also dominate paid care work

• Nearly two-thirds of workers in care sectors such as healthcare, childcare, and domestic work are women. Globally, 80 percent of paid domestic workers are women. Despite this, most women face low wages, unsafe working conditions, and a lack of social protection.
• According to the report, approximately 90 percent of domestic workers worldwide lack basic services such as social security and social insurance.

Increasing Pressure from Climate Change and Conflict

• UN Women warns that climate change, natural disasters, and conflict are putting additional strain on care systems. These crises have the greatest impact on women and girls, who spend nearly four times more time than men engaged in unpaid care work in such circumstances.

Transform Care Initiative

• UN Women's "Transform Care Initiative" is striving to strengthen health and care systems in more than 50 countries. The initiative aims to reach approximately 2.9 million women and girls, create 260 million decent jobs for women, and save 10 trillion hours of women's and girls' time by 2035.

Conclusion

UN Women believes that investing in equitable and inclusive care systems is one of the most effective ways to advance gender equality, economic prosperity, and social resilience. Amid growing care needs, governments and the private sector must increase investment in this sector to promote women's economic empowerment and sustainable development.