Crack in the glass ceiling

The following article is based on my own interpretation of the said events. Any material borrowed from published and unpublished sources has been appropriately referenced. I will bear the sole responsibility for anything that is found to have been copied or misappropriated or misrepresented in the following post

Sagar Gautam, MBA 2014-16, Vinod Gupta School of Management, IIT Kharagpur

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On 7th March 2015 Germany became the latest country to oblige to improving the representation of women on corporate boards, passing a law that requires some of Europe’s biggest companies to give 30 per cent of supervisory seats to women beginning next year. Less than 20 per cent of the seats on corporate boards in Germany are held by women.Ironically some of the biggest multinational companies in the world are based here, including Volkswagen, BMW and Daimler.

This step on Germany’s part has the potential to significantly change the proceedings of corporate governance here and will have repercussions far beyond Germany’s borders. In passing the law, Germany joined a trend in Europe to accomplish what has not happened naturally.

Europe is no stranger to reforms like this. In fact Norway was the first in Europe to legislate boardroom quotas, joined by Spain, France and Iceland. They implemented a minimum of 40% reservation for women in their corporates. Italy has a quota of 33 per cent, Belgium of 30 per cent and the Netherlands a 30 per cent .On the northern front Britain has not legislated boardroom quotas, but a voluntary effort, known as the 30% Club, has substantially increased women’s representation. The United States has also seen women’s representation grow slightly, up to 17 per cent of board seats, without legislative mandates, though its growth has been extremely slow.

On this women’s day it is heartening to see such dreams materialize in reality. In order to break the so called “glass ceiling” many such efforts are required. Now the ball is in women’s court. They have to show that with increased presence in the boardrooms they can bring significant changes to their organizations. This will pave way for further reforms and will silence the critiques.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Salary cut for coming late, Seriously?

The following article is based on my own interpretation of the said events. Any material borrowed from published and unpublished sources has been appropriately referenced. I will bear the sole responsibility for anything that is found to have been copied or misappropriated or misrepresented in the following post.

Malav Shah, MBA 2014-16, Vinod Gupta School of Management, IIT Kharagpur


State-run airline Air India issued a circular to employees, mentioning the salary cut for the employees who report late. This move is in the direction of improving the quality of the airline, which is known for running delayed flights. The circular has made front page news in Business Standard dated on 1st February 2015. “Delays in flights are causing monetary losses, besides a loss in reputation of the organization. Accountability for the delay has to be fixed and all concerned should be sensitized,” said the order, effective from 1st February 2015.

While delay happens for several reasons such as late arrival of aircraft, bad weather, and late reporting of crew, etc. Late reporting of crew members, accounts for 10-15 percent for the delay, article states. Organization assumes that it can get to on-time performance by cutting down salaries of the employees who report late. According to me, salary or monetary benefits are hardly a motivation for any employee. Social factors, colleagues, superiors and subordinates play an important role in one’s performance at work. A healthy relationship with all these entities makes one feel important at work. Salary is just a mere outcome of our contribution to the organization, whereas relationships we build internal or external to the organization have a greater impact on our performance as well as on our life. In my opinion, instead of cutting down the salaries for late comers, Air India should try to engage employees in conductive and inclusive environment where everybody feels responsible and motivated.