Up With Women in the Downturn

Economic downturns like the one we are currently facing are equal-opportunity disasters. This is not a "man's recession" or a "woman's recession." Nonetheless, gender differences play out within this financial crisis.

The Chinese proverb "Women hold up half the sky" provides a good starting point to understand the current place of women in the U.S. economy, and thus the differential impact they face from this downturn. But which half of the sky are women holding up? A good deal of work in our paid economy - and also the unpaid work in homes - is still sex-segregated. Blue-collar jobs remain primarily the province of men (87 percent of all construction jobs and 70 percent of all manufacturing jobs in 2008) while administrative work is still largely done by women (75 percent in 2008), as are care services. Women last year held 89 percent of health-care support jobs and 79 percent of personal-care jobs. While professional and managerial jobs are held almost equally by men and women, some professional occupations remain stubbornly women-dominated, such as teaching and nursing.

With the rise in women's paid employment - women are now just less than half of all paid workers, whereas in 1960 they were only one-third - has been a corresponding rise in women-headed households. In 1960, 18 percent of households were headed by a woman who was divorced, widowed or had never married; by 2007 women-headed households had risen to 30 percent of all households. Even within married-couple households, women's earnings comprise an ever-larger share of total income: In 1970, women contributed 27 percent of household earnings, but by 2006 the percentage had risen to 37 percent.

Given the realities of women's place in the U.S. economy, when then-President-elect Obama first proposed a stimulus package late last year, feminists were concerned. It promoted "shovel-ready" infrastructure projects, which could preclude many women from newly created jobs since the construction and manufacturing sectors are so male-dominated. If the package were only geared toward these sectors it would be a "macho" stimulus, disproportionately employing men while ignoring other crucial investments in human infrastructure.

But thanks to lobbying by women's advocacy groups for attention to the place of women in the U.S. economy, Obama's stimulus bill offered women a good deal in terms of targeted funds to sectors in which women are employed as well as in human infrastructure investments. Key provisions include $144 billion to state and local governments-including large amounts for education and Medicaid, $53 billion for other education and training and $59 billion for health care. There is an increase in unemployment benefits and the length of time unemployed workers can collect, but equally important to women workers are incentives for states to extend unemployment benefits to low-wage and part-time workers - which tend to be women.

For low-income families (about half of which are single-mother families), the stimulus bill includes $4 billion for childcare, an increase of $20 billion in food stamps benefits and increased cash assistance for needy families. Of the $288 billion in tax cuts included in the stimulus, a good portion are directed specifically at low-income workers and parents, all of which will help women, especially single mothers.

But more needs to be done, including protection for women during the current debt crisis in the country. The declining value of homes and pensions in this downturn has affected everyone, but women - especially those of color - are overrepresented among those experiencing the subprime mortgage meltdown. Many of those women didn't just make a poor mortgage decision: They were targeted by purveyors of high-risk loans, even though, on average, women have better credit ratings than men. About one-third of women borrowers held subprime mortgages in 2006 compared to one-quarter (24 percent) of men. African American women were 2.5 times more likely to receive a subprime loan than white and Latina women.

Women also need to know that the safety net of unemployment insurance will hold them in a time of need. But unfortunately, like other safety nets such as food stamps and cash assistance, that net has some gaping holes in it through which women can fall through. In 2007, only 37 percent of unemployed workers actually received unemployment benefits, and those with lesser pay - women, usually - are less likely to meet the requirements.

Obama's stimulus provides a jump start to recovery, and a serious recognition of women's needs at this time. However, to address the structural problems that caused this deep recession -as well as to rebuild the set of supports that women (and men) need when they lose their jobs or don't earn enough to support themselves - will require substantially more effort.

For the full version of this article, pick up a copy of the Spring 2009 issue of Ms. on newsstands, or have a copy sent to your door by joining the Ms. community at www.msmagazine.com.