HBLF: gender balance is the key to success

By: Trademagazin Date: 2024. 10. 11. 11:56

If there is a balanced gender ratio in the boards of directors, companies can earn up to 10 percent more profit, it was said at the joint event of the HBLF, the European Women on Boards (EWOB) and the Institute of Directors Hungary (IoD), which was entitled “Balanced boards for sustainable business for performance” was held at the beginning of October.

Pursuant to the European Parliament’s 2022 directive, by June 30, 2026, the proportion of underrepresented genders on the boards of listed companies must reach 33%, i.e. every third board member must be a woman or a man, depending on whether they are women or men they are in a higher proportion in the management. In Hungary, the proportion of female managers is only 10.8 percent, so in our country the EU directive primarily applies to increasing the proportion of female managers.

“I am convinced that we provide better solutions to the challenges of our time, such as how to navigate the uncertain economic environment, how to retain talent, and how to achieve net zero goals by taking multiple perspectives into account in our business decisions. HBLF, with the cooperation of our member companies, launches programs that help the professional preparation of future managers and directors. The programs are available to both men and women, because we believe that change requires the cooperation of both sexes. HBLF’s initiatives, such as Xmentor and the HBLF Board Level program, give companies a tool to help build professional and balanced management teams.”

– said Andrea Solti, president of the Hungarian Business Leaders Forum.

According to a survey by the International Labor Organization (ILO), companies with an inclusive business culture and gender balance in management tend to perform better in business. Two-thirds of the surveyed companies reported a profit increase of 5-20 percent, and more than half of them attributed it to an increase in productivity, an improvement in the attraction and retention of talent, and the good reputation of the company.