By Professor Geeta Nargund
Recently, The Pipeline, a leading gender and diversity consultancy, reported a fall in the percentage of women in executive committees of FTSE350 companies in its annual report. If nothing is done, things will only get worse. This article highlights how HR teams in organizations can help stem the tide and achieve gender parity.
The Pipeline has dedicated 12 years to sharing expertise in gender and championing gender diversity in the workplace. Through its work with hundreds of women in over 130 businesses, continued research reviews, and data gathered from its programmes, it has gained deep insights into how organisations can create and drive real change. Since 2017, The Pipeline’s annual report, Women Count, has analysed gender dynamics within executive committees of FTSE350 companies. Alarmingly, the Women Count 2024 Report revealed a regression: female representation on FTSE350 executive committees has declined for the first time since 2016. Critically, progress has reversed.
Alarming reversal of progress
Currently, women account for just 32% of executive committees, a drop from 33%. Although this decrease may seem marginal, it represents a significant turning point. At this rate, gender parity in executive leadership may not be achieved for another five generations.1 This concerning finding emphasises the urgent need for meaningful action in 2025.
The need for meaningful change – gender parity and profit
The decline in female representation at the executive level is not just a setback for gender equality; it is also a missed opportunity for economic progress.
Numerous studies, including Women Count, consistently demonstrate that companies with greater gender diversity in executive committees outperform those in the bottom quartiles in performance, innovation, and problem-solving. However, while women represent half of the UK workforce, they hold less than one-third of executive roles. Organisations are ultimately losing out on performance potential through this lack of gender parity.
BlackRock’s major research found the most diverse executive teams have a 29% higher annual return on assets compared to their least diverse counterparts.2 Consistently, companies with higher representation of women in leadership perform better financially.3 Gender diversity is smart business.
Combining this regression in progress, with the recent trend of US companies reversing their focus on DEI policies and initiatives, illustrates the importance of HR teams creating meaningful change in 2025. It also makes the stakes higher. HR teams must combat external pressures to deprioritise gender initiatives whilst driving internal transformations that ensure lasting change. Without decisive action, the progress lost in 2024 could extend the timeline for gender parity and economic advancement by years. Importantly, HR teams must reframe diversity not as a compliance or ‘‘box ticker,’’ but as a key driver of performance, both within their organisations and in response to external pressures.
What is meaningful change? And how can hr teams achieve it?
“Meaningful change” entails real, measurable actions to reshape the systems, cultures, and attitudes that have historically hindered progress. True change is sustained when it becomes deeply embedded in an organisation’s values and practices. One of the most substantial indicators of success is an increase in the number of women in executive committee roles.
Four pillars for hr teams in 2025
After working with over 130 companies for 12 years, The Pipeline has uncovered Four Pillars for driving real progress in 2025, all drawn from companies with successful gender diversity initiatives. HR teams should prioritise these key areas in 2025:
Lead from the top
Leadership commitment is the cornerstone of all successful gender diversity initiatives. Companies that lead from the top set clear targets, and their leaders hold themselves accountable. Accenture’s CEO Julie Sweet has set goals for full gender balance in 2025, emphasising, “You can only have a culture of equality if you start with the belief that diversity matters.”4 HR teams can follow this example by fostering accountability at every level and driving initiatives that prioritise diversity and inclusion.
Change the culture
Achieving gender parity requires a cultural shift deeper than surface-level initiatives. HR teams that focus on creating an inclusive environment where women can thrive make real strides towards progress. This includes addressing systemic barriers such as unconscious bias, gendered expectations, and the lack of flexible working arrangements that disproportionately affect women.
HR teams that focus on creating an inclusive environment where women can thrive make real strides towards progress.
For example, Philips has successfully transformed its workplace culture by increasing the proportion of women in leadership roles within its healthcare business from 16% to 29% over two years. The company also introduced gender-pay initiatives, including 52 weeks of parental leave pay. HR teams can take active steps like Philips’, by analysing biases in their recruitment systems, changing maternity and parental leave policies, or creating mentoring and sponsorship programmes to help women thrive within their companies.
Drive accountability
Setting goals without accountability undermines progress, and clear, robust data is the best way to push accountability. The Pipeline’s Women Count 2024 Report underscores this, noting that 84% of signatories to the HM Treasury Women in Finance Charter link pay to gender parity targets, and 70% believe this linkage has been effective. The report recommends making this link to executive pay a firmer commitment on a “comply or explain” basis.5
Simon Linares, former HR Director at Direct Line, observed that tying 10% of senior executives’ bonuses to gender diversity targets significantly sharpened focus on achieving results. HR teams play a pivotal role in designing such accountability frameworks and ensuring teams remain motivated and on track.6
Don’t declare victory too soon
While celebrating milestones is important, HR teams with success in gender diversity remain focused on longer-term goals. Progress can easily stall or reverse without persistent effort and adaptive strategies, as evidenced by the Women Count 2024 findings. Orange exemplifies a long-standing commitment to gender equality. Since 2004, the company has implemented proactive measures such as signing three-year agreements with French trade unions to combat discrimination and promote work-life balance. These efforts earned Orange a 7th-place ranking in the Equileap Gender Equality 2023 Report. HR teams can learn from Orange’s approach by maintaining and updating continuous initiatives until the ultimate goal of achieving a 50/50 balance is reached.
Wake up call
Women Count 2024 serves as a wake-up call. The reversal of progress is a clear reminder that meaningful change requires ongoing effort. By fostering an inclusive culture, driving accountability through data, and maintaining a long-term perspective, HR teams can reverse this trend and build a more equitable and profitable future.
Gender parity is smart business and HR teams must act now to remind their organisation of this – not only to create a more balanced workplace but to drive economic profit and business growth.
Professor Geeta Nargund
