Investments by multi-national companies in developing countries have created jobs for women, but risks of "exacerbating gender inequality" at the workplace remain prevalent, an UNCTAD report said today.
Developing countries need to pay particular attention to select labour-intensive and export oriented sectors where women often make a strong workforce, it said.
"Investment by multinationals has been instrumental in creating job opportunities for women, particularly in labour- intensive, largely export-orientated industries.
"But the report also identifies a number of risks, such as poor working conditions and limited access to training for women, especially when the jobs created are confined to low- paid activities or occur in the informal sector," it said.
The report has proposed targeted government policies and actions to be effected by MNCs to address these challenges.
"Governments need a specific strategy for women's empowerment that complements efforts to achieve economic and social development. Governments should also consider how foreign investment can support women's equality, not undermine it," it suggested.
The report has also suggested a set of guidelines on gender equality that should be included in the business model of MNCs.
The suggestions include promoting women's empowerment, respecting equal rights and developing gender-sensitive divestment models.
There is also a need for targeted policies and corporate action to ensure that the activities of MNCs translate into real benefits for women in developing countries, it said.
