The importance of gender diversity on boards of directors for fostering corporate social responsibility

Abstract

We analyze the impact of board gender diversity on corporate social responsibility through the consolidation of its literature. This subject is relevant because it addresses human rights issues such as women’s empowerment and its impacts to the promotion of fairness and sustainability in the business world. Our aggregate analysis of dozens of empirical studies shows that greater gender diversity on boards is related to several positive impacts, such as: higher ratings of corporate social responsibility, better ethical and social reputation, stronger compliance with laws and regulations, and better quality of companies’ reports. Our general conclusion is that board gender diversity must be seen as a priority for two main reasons. On the one hand, for directly contributing to the UN Women's Empowerment Principles. On the other hand, for indirectly fostering the Global Compact Principles, particularly those related to the environment and anti-corruption practices.