Economic Recession: Are Women Hit Hardest?

During an economic recession, many events unfold. For example, business activity slows down, housing prices fall, and many individuals are either laid off temporarily or lose their jobs completely as factories and business shut down due to the lack of business.

Families everywhere, most especially the middle class, receive the impact of economic recession. Women could possibly be hit hardest for several reasons.

Women, the Wage Gap, and Recession

Women, according to certain statistics and numbers are already the recipient of wage gaps. Wage gaps are lesser pay for the same or equal job title and description. If women are already receiving less pay for the same job, it stands to reason that they will suffer harder when an economic recession hits, as well.

There are many ways that women are affected by an economic recession and one of those is budget cuts.

* Less available funds for continuing education

* Cutting back of sick time and paid days off

* Cutting back of vacation time

* Cuts in pension plans

* Increase in health insurance premiums

Typically, women are more likely than men to have custody of the children in a divorced family. Budget cuts that slash paid vacation days, sick time, pension plans, and health insurance increases are all a major impact that can cause a domino effect in the life of a woman.

If a woman as head of her household has to pay a sitter for vacation and sick time lost, she not only loses funds from that vacation and sick time, but also has to expend finances in order to pay someone for childcare.

Women in the role of caregiver to the elderly seem to be typical, as well. An economic recession could cut funding to a program that women utilize in order to provide care for their elders. A cut in this area can mean significant change in a woman’s financial outlook, as women may have to spend more time during the day or throughout the night providing care and services that they were receiving otherwise.

Lack of funds in the form of grants and financial aid may affect women in the work force, as well. If a young woman is educating herself and her financial aid is cut, then a trickle down effect will take place. Not only does the possibility exist that she may have to discontinue her education, but the possibility of losing income in the future because of it may exist as well.

So, as you can see women as caregivers may be more likely to be hit the hardest when it comes to an economic recession.