Every time there’s a bit more female representation in the workplace, it seems like there’s more to cheer for. And every time a female leader no longer has her position, some people feel a bit more sad. After all, women in the workplace don’t have great numbers.
In India, for example, female labour force participation was about 24% in 2022. But, what do people think when a woman leader falls or fails? Are they happy about it?
Think of some of the most renowned cases. Former Theranos CEO Elizabeth Holmes had proposed a cutting-edge blood-testing tech, claiming it could lower the cost of diagnosing medical conditions. Holmes had taken money from investors on the condition that she wouldn’t reveal how the tech worked. Theranos worked in stealth mode.
That’s the kind of venture that would give one a lot of prominent media attention. Add the bonus that it’s a woman leading the cause and it becomes twice as noble and admirable. Hundreds of millions of dollars were poured into Theranos, making Elizabeth Holmes the world’s youngest self-made billionaire on paper. It was the classic Stanford-drop-out-turned-genius-entrepreneur narrative that made everyone impressed. People were thinking, “Here’s the next Steven Jobs or William Gates”. She graced the covers of prominent magazines, was respected in the tech world and even shared a panel with Jack Ma and William Clinton.
And then, it all came crashing down.
By 2015, the Food and Drug Administration had investigated the company and found major inaccuracies in the testing Theranos was doing. A report outlined that its blood-testing machine couldn’t give accurate results. By 2016, Theranos had shut down its lab operations and wellness centers. Holmes was one of the people charged with massive fraud and she was sentenced to more than 10 years in prison.
Another case is the e-commerce startup Zilingo co-founder Ankiti Bose. She founded the startup at 23. Her company was nearly a billion dollars’ worth in terms of market value. She was one of Asia’s youngest CEOs and was all set to be India’s first woman to co-found a $1 billion startup.
And then, it all came crashing down.
There were accusations of alleged financial irregularities, leading to creditors recalling loans and staff leaving. Bose had to step down, though she denies any wrongdoing. Her soaring startup sent shockwaves throughout Asia’s tech industry.
Think about Caroline Ellison, who worked with Samuel Bankman-Fried of FTX and who was riding the crypto wave. FTX had hit a blockbuster valuation of about $33 billion. Bankman-Fried had promoted crypto and lobbied for its interests. Ellison was tasked with running Alameda Research, a trading firm owned by Bankman-Fried, a company, whose goal was making money. FTX, a sister company, was launched and it became one of the biggest crypto exchanges in the world.
And then, it all came crashing down.
A report raised concerns about the financial health of FTX and Alameda. Binance said that it would dump its holdings of FTT, which was FTX’s digital currency. Ellison, trying to cajole Binance, said that Alameda would buy it all to minimize market impact. But, Binance never heard back from her about the offer. FTX was said to be, allegedly, using customer money to lend billions of dollars to Alameda for risky trades and investments. Ellison, reportedly, revealed that customer money had been used to help Alameda meet its liabilities. In December 2022, she pleaded guilty to wire fraud and more.
There are more cases.
Tinder CEO Renate Nyborg departed from her role in 2022 after less than a year, with the Board citing the team falling short on deliverables. IBM CEO Ginni Rometty, also, departed from her role in 2020 after the company claimed to struggle with growth. Gap CEO Sonia Syngal was fired from her role in 2022 after the company’s operating profit in a quarter was hit.
Now, some may think, “Oh, big deal, someone just put some names in succession. Even male CEOs have been ousted in the past. Where’s that list?”
There’s a research study that explores whether women are more likely to be ousted from CEO jobs that concluded female CEOs are 45% more likely to be dismissed than their male counterparts, mostly when the company is performing well.
What about in the political world? Jacinda Ardern, the 40th PM of New Zealand, announced in January 2023 that she was resigning after she felt she didn’t have enough in the tank to continue. Elizabeth Truss, the 56th PM of the UK, stepped down from her role in October 2022 after just 45 days. This was because of a massive package of tax cuts she unveiled in the midst of inflation, causing the pound to crash and there were other issues as well.
Susan Wojcicki, the CEO of YouTube, announced she would step down in February 2023, in order to start a new chapter focused on family, health and family projects. Nicola Sturgeon resigned as Scotland’s first minister in February 2023, saying that she no longer had the stamina to continue in a high-pressure and demanding role.
And while all of this is happening, it seems like trust in women leaders is falling, even with numbers in high-ranking positions growing. How dire for those who have broken through the glass ceiling. In November 2022, the Reykjavik Index For Leadership reported this decline. Across G7 nations, about 47% of respondents said they’d be comfortable having a woman as CEO of a major company, down from about 54% the previous year. Males were significantly more likely than females to be critical of a female leader.
Amidst the public fall of many of these leaders, misogyny may have also been reinforced during the COVID-19 pandemic, where women seemed to be picking up the bulk of childcare and were leaving the workforce at a higher rate than males.
This could have made the bias against females more socially acceptable.
In 2023, TCS was said to be witnessing higher attrition among its female employees, standing at about 20% in the past year. It may be that when public figures who are women leaders seemingly fail, it falsely creates a mindset that females shouldn’t be in leadership positions. Take Hillary Clinton losing the US Presidential Election in 2016 to Donald Trump, leading to some people asking whether America would ever have a female President and whether the country is ready for it.
Also, think about some of the traits typically associated with a leader: ambition, confidence, assertiveness, the ability to get through tough times and more. The problem is these are some traits that contradict what people think stereotypical feminine behaviour is. Women, who embody some or all of these traits, for some reason, are disliked. For many, women are expected to be nice, submissive, demure, shy, friendly, nurturing and warm. That might affect their being taken seriously as a leader or being considered for top positions.
What’s worse is if a woman leader does have these stereotypical feminine traits, they’re still not taken seriously as a leader, are not being considered for top positions and are seen as incompetent. Think of the double bind, in the same situation:
A female may be seen as pushy, but a male may be seen as ambitious.
A female may be seen as nagging, but a male may be seen as persistent
A female may be seen as stubborn, but a male may be seen as determined.
A female may be seen as aggressive, but a male may be seen as assertive.
A female may be seen as hysterical or shrill, but a male may be seen as passionate.
It’s also possible that the negative press that women leaders receive could be disproportionate.
There could be stereotypes of female leaders being “b*****s” who scream and curse, because they’re on their period and unfit to lead. All of which could just be pure prejudice. People may unfairly want women leaders to be affable, warm and friendly. But then, women with those qualities may be seen as not having management qualities. It’s quite a bind.
It doesn’t mean that if a particular woman leader is unnaturally brusque or if she creates a hostile and untenable work environment, it should be excused or else, it’s s*xism. But, the assumption that a woman leader should not be allowed to be assertive is unfair. And this same standard should be applied to male leaders.
Research shows that male and female CEOs tend to be treated differently by activist investors, people who pressure companies to change their strategic decisions and policies. It’s possible that these activist investors could have some gender and may be more likely to target female CEOs. Though activism is rare, it’s quite publicized, so the targeting is also publicized.
And sure, if a CEO is dismissed for wrongdoing, it’s a good sign of robust corporate governance, but how boards evaluate female CEOs should be devoid of any biases relating to their gender. The careers of ambitious women leaders are filled with professional trade-offs, biases, perceptions and different kinds of obstacles. The addition of females to a C-suite (C-sweet pronunciation) shouldn’t just be tokenistic as a show of diversity. But, it’s also about cultivating and nurturing them for top roles and leadership positions.
Now, of course, every time a woman leader exits their position, one shouldn’t quickly assume it’s s*xism. Inexcusable mistakes, intentionally misleading the Board or consumers or general foul play can’t all be dismissed, just because the leader in question is a woman. Nor should such behaviour be condoned.
But, there should be pragmatic reasons that people should look at, when a female leader falls and should not have a confirmation bias, thinking “I knew it! This is what happens when women lead!” And any genuine example of a woman leader screwing up should not colour anyone’s opinion and make them think that this is why no other leader should be female.
There has to be fairness, because a couple of people don’t represent their whole gender. Though, irrespective of how a woman leader abdicated her seat, representation falls. But, maybe there’s hope.
India is said to have about 36% of women in leadership roles, as of March 2023 Globally, the rate is about 32%. And in the US, women hold 25% of corporate board seats. All of these are sobering numbers, but maybe they can improve over time.
Nonetheless, ask yourself just this: are you relishing the fall of a woman leader?
She Ruled, She Fell: Do You Enjoy The Fall Of A Woman Leader?
