The pandemic significantly affected women's careers and earnings. But what was the true cost, and how can recovery be achieved?

The real toll on women during COVID is alarming. Job losses may have set back workplace progress by ten years, with women globally losing an estimated $800 billion in income. Such statistics paint a grim picture, especially since women were already lagging behind men in salary, leadership roles, and savings. With this in mind, we aimed to examine the pandemic's effect on women across the country—how severe are the consequences, and what steps can be taken to regain lost ground?

First, let’s explore what transpired as the world shut down for an extended period:

Professionally: The Great Resignation

The media buzz around “The Great Resignation” captured the phenomenon of professionals leaving their jobs in record numbers during 2021. For women, many departures stemmed from necessity rather than choice, as noted by Kristen Carlisle, general manager at Betterment’s 401(k) business. A recent survey revealed that women were twice as likely as men to resign within the last year. This trend is largely due to women stepping back for personal reasons, including caregiving responsibilities or burnout, forcing them to prioritize family over career.

Financially: Discrepancies in Savings

Amid income losses from layoffs, many faced financial strain. However, women experienced these financial challenges more acutely. According to a survey by Betterment, only 37% of women consider themselves financially stable, in contrast to 61% of men. Alarmingly, 41% of women lack emergency savings compared to 25% of men. “Being without a financial safety net can lead to anxiety, especially when unexpected events arise, such as job loss or health crises—situations that affect women more severely,” Carlisle remarks.

Emotionally: Increasing Rates of Burnout

While numbers reveal much about financial setbacks, the mental and emotional toll of the pandemic is less quantifiable. Carlisle highlights that women report higher burnout rates, with 37% of female employees citing burnout as their main reason for leaving their jobs, compared to only 24% of men. “Many women who previously had no mental health issues found themselves struggling under the weight of pandemic-related demands at work and home, leading to significant burnout,” she explains.

Health: Decline in Preventive Care

The pandemic also adversely affected women's health. Research from the Kaiser Family Foundation indicates that women were more likely than men to forgo healthcare during the pandemic, risking missed screenings and late diagnoses, according to Deborah H. Telman, general counsel for Organon. For women of color, who already faced healthcare disparities, the effects were even more severe.

“Black women experienced a drop in life expectancy by 2.3 years, and maternal health challenges are expected to worsen,” she notes. “Failing to prioritize health leads to widening disparities, ultimately affecting economic stability.”

What Steps Can Women Take to Move Forward?

Despite these setbacks, there are proactive measures women can pursue to forge ahead. Here are some strategies for fostering change in your life and community:

Focus on Financial Wellness

Understanding the importance of financial health is crucial. Just as one prioritizes physical and mental health, seeking guidance from a financial advisor can be equally beneficial. Opt for a fiduciary who prioritizes your financial interests.

Share Household and Childcare Responsibilities

Support at home is more essential than ever. Both mothers and fathers should strive for equal distribution of household and childcare tasks, as suggested by Yasmin Monfared, head of insights at Forage. Initiatives like MenCare advocate for equitable partnerships and paid parental leave, exemplifying how organizations can foster family-friendly policies.

Surround Yourself with Empowering Women

The company you keep can greatly influence your confidence and progress. Seek mentorship or offer guidance to younger professionals, particularly Gen Z women, as they are the future leaders. “Let's build a foundation to nurture capable women who can navigate their careers without setbacks in future crises,” she urges.

Recognize Your Value and Impact

Women must appreciate their skills and experiences and how these contribute to impact, advises Dr. Rosina Racioppi, CEO of WOMEN Unlimited Inc. “By focusing on this, women can advocate for themselves, ensuring leaders recognize their talents,” she adds. “Relying solely on work to speak for you can be a perilous mindset, especially now. Leaders need to know about your capabilities to offer opportunities.”