Firms lead by women are more profitable

This report, witten by Annu Kotiranta, Anne Kovalainen, Petri Rouvinen has been published by the Finnish Business and Policy Forum. This should inspire our shareholders when they chose a CEO…


the summary of the report states that less than a tenth of the CEOs of Finnish firms and less than a fourth of the corporate board members are women. From a social standpoint more women are desired in top management, but should firms’ owners  be concerned with women’s role in top management? Since hard facts have been in short supply, study seeks to an answer the question by applying scientific research methods.

Surprisingly results indicate that a company led by a female CEO is on average slightly more than a percentage point – in practice about ten per cent – more profitable than a corresponding company led by a male CEO. This observation holds even after taking into account size differences and a number other factors possibly affecting profit ability. The share of female board members also has a similar positive impact.

If and when Finland seeks to increase the share of women in top management, these endeavours should not be hindered because of concerns about private firms’ profitability – quite the contrary, in fact.

What do new technologies mean for the European labour market?

There is no doubt that technological improvement is an important factor for changes in different labour markets. This is true both for the quantitative development of employment as well as for the qualitative development of skilled labour force. The extent to which new technologies lead to more jobsand better working conditions is, however, a subject of debate. On the one hand, new technologies – such as modern IT – have often been called ‘job killers’, causing unemployment growth. On the other hand, technological innovation is considered a means to improve the competitiveness of the European economy and offers new economic markets with new job opportunities. With new IT technologies work can be organised much more effectively with fewer workers involved and as a consequence the demands on the higher qualifications labour at nearly all job levels are required. And result is that mostly unqualified, older and young people in European countries have reduced access to the labour markets.


Due to IT technologies in highly skilled occupational groups there is evidence that the increasing demands for further qualification as well as lifelong learning have become an integral part of the individual commitment on the job. In lower-qualified occupational groups the workers depend verymuch on the learning opportunities provided by the companies. The question for public

policy remains how institutions can maximise opportunities and minimise risk in different

working environments.


More about this subject you can read in attached study provided By ETAG:Interactions between new technologies and the job market, flexicurity and training/vocational training”

Slovakia will join euro

Maybe this article is more about politics, but i want to post it here as in Slovakia everything is revolving about adopting euro in 2009. There are lot of discussions about it and the public opinions differ widely. But the point is that European leaders made their historic decision and Slovakia has been given the green light to become the 16th EU member of the eurozone. This will be another historic landmark in our history after joining the European Union in 2004 and entering the Schengen zone in 2007. Slovakia is now the first of the Visegrad Four countries to pass this last important step on the way to full EU membership. Prime Minister Robert Fico stressed that he sees the EC’s approval as an expression of trust in his government. However, European Commision warns against future risks. The final decision on Slovakia’s adoption of the euro will be made in July. Slovakia needs to keep inflation under control and maintain its competitiveness. The EC recommends a stricter fiscal policy as a remedy to inflation risks. The threat of increased inflation is also due to energy prices, as recent global energy-price increases haven’t yet been reflected fully in consumer prices. Brussels has also drawn attention to Slovakia’s 10-percent unemployment rate – the highest in the EU, with as many as 76 percent of those without jobs being long-term unemployed, unqualified, and thus ill-equipped to find work. The commissioner encouraged other EU member countries on the road to the joint currency to pursue and intensify their efforts as “it is clearly in their long term interest.” The convergence report also assessed the progress that Bulgaria, the Czech Republic, Estonia, Latvia, Lithuania, Hungary, Poland, Romania and Sweden have made towards the euro.

 I wonder in what extent the euro will influence the standard of life of the people in aour country. Maybe you could write what kind of experience you had with adopting euro (if it was not  long time ago and you still can remember those times when you paid with another currecy than euro…) or if your country still does not use euro, are the people ther willing to change the old currency for euro…?

Doors are still closed for Eastern Europe workers!

Though there have been improved conditions of work for immigranting workers by establishing reforms and finally dissolving restrictions by 2014, there are still indisputable few problems for a free entrance in all EU-countries. Especially new members of the EU Romania and Bulgaria hope to be integrated in open labor markets as soon as a special arrangement will be accomplished. Pursuant to the statistics of Commissions 2006 shows less than one percent of the working age population in all old EU member states except Austria (1.4%) and Ireland (3.8%).

Most of progressive developments of the EU-members to enable immigrants access to work are demonstrated in Austria and Germany. In contrast in the Netherlands it remains to find some solutions accomplishing with the lack of workers or high numbers of illegal workers in some sectors.

What will the employee of tomorrow look like?

Did you ever think about what the employee of the future is going to be like? How will look the situation on labour market for example in the year 2028? There will be lots of changes in various aspects of the work, what will have a great impact on the future workers. There will be a change in the dominant business ideology from an American/European one to an Eastern/Asian one as we can see also nowadays the importance of China or India in the global economies. Do you think the main language of our children in schools will be chinese?

Another dramatic change we can await is likely to be in the age profile of the workforce… More people aged 65 years and over is expected to stay in work and to be economically active and the new age for retirement is likely to be about age 75.

The major role (even more important than the salary ) will play things like family-friendly policies or good social responsibility record. If you might think that the employees in 20 years will spend his day sitting at his desk from nine to five, you are not right. Progress in technology will enable to make the work more effective and there will be more opportunities to become remote worker and have your workplace at home. The situation for women, migrants and minorities is also likely to be better… You can read more here.