Checking the 'Female Wave' in the 4 Major Financial Groups... Executive Ratios Still in Single Digits [K Ingu Strategy]

Increase in Female Executives
Still Below 10%
Proportion of Female Managers Rising
"Improvement Expected as Female Talent Pool Grows"

The proportion of female executives in the four major domestic financial groups remains at a single-digit level.

On the 5th, an analysis of the '2023 Sustainability Management Reports' of KB, Shinhan, Hana, and Woori Financial Groups showed that the proportion of female executives and management (including division heads) in the four major financial groups was between 5.6% and 8.9% as of last year. Although the ratio has been increasing annually, the share of women in key decision-making positions still remained below 10%.

Executive and Management Ratios Still in Single Digits

In the case of KB Financial Group, the proportion of female management (based on KB Kookmin Bank, KB Securities, KB Insurance, KB Kookmin Card, and KB Life Insurance) recorded 8.7% last year, up 1.3 percentage points from the previous year. Over the past three years, the proportion of female management has steadily increased, with 6.6% in 2021 and 7.4% in 2022, but it still remains below 10%.

However, the proportion of women in overall managerial positions (from manager to executive) and middle management (manager and deputy general manager) was 36.1% and 41.3%, respectively. The proportion of female managers in revenue-generating departments also showed an increasing trend, rising from 9.5% in 2021 to 10.1% in 2022 and 15.2% in 2023. The proportion of female talent in STEM (Science, Technology, Engineering, and Mathematics) fields, where men have traditionally excelled, also increased annually, recording 21% in 2021, 30.2% in 2022, and 32.4% in 2023.

Shinhan Financial Group had 25 female executives out of 279 executives last year, with the proportion rising 0.5 percentage points from the previous year to 8.9%, the highest among the four major financial groups. The proportion of female executives in Shinhan Financial has been steadily expanding over the past three years, with 6.9% (15 people) in 2021 and 8.4% (24 people) in 2022.

The proportion of female department heads is also increasing. Over the past three years, the proportion of female department heads in Shinhan Financial was 9.7% (152 people) in 2021 and 11.7% (206 people) in 2022, surpassing double digits, and it continued to rise steadily to 12.6% (229 people) last year. The expansion of women’s share in STEM departments is also notable. The proportion of female employees in STEM departments was 32.3% (729 people) last year, up 1.6 percentage points from the previous year.

Woori Financial's proportion of female management was 7.1% last year. Over the past three years, the proportion of female management in Woori Financial has increased relatively rapidly, from 4.4% in 2021 to 6.0% in 2022. Women have stood out in the proportion of female managers in revenue departments, rising from 53% in 2021 to 56.3% last year. The proportion of female employees in STEM fields was 36.6% last year, leading among the four major financial groups.

Hana Financial Group recorded a female executive ratio of 5.6%. Although the number of female executives at Hana Financial is increasing annually, the figure remains minimal. Only 11 out of 195 executives were women. The proportion of female middle managers at Hana Financial was also low compared to other financial groups, at 18.6%. However, the proportion of female managers in revenue-generating positions surged to 60.3% in 2023, a significant increase from 17.6% in 2021. The proportion of female employees in STEM fields was the lowest among the four major financial groups at 27.9% last year.

No Female Bank Presidents... Four Major Financial Groups Launch Female Leader Development

The proportion of women in key decision-making positions, such as core affiliates like banks, remains minimal. An analysis of the business reports of banks under the four major financial groups (2019?2023) revealed that there have been no female inside directors in the past five years. Currently, all four bank presidents (KB Kookmin, Shinhan, Woori, Hana) are male.

However, financial groups are nurturing female leaders and expanding their talent pools. KB Financial has been focusing on developing female talent since the tenure of former Chairman Yoon Jong-kyu. The plan is to raise the proportion of female management to 20% and female managers in revenue-generating departments to 30% by 2027. They operate the female leader mentoring program called 'WE STAR Mentoring,' and especially at the core affiliate KB Kookmin Bank, they follow policies favoring female personnel, such as placing 20% female deputy branch managers, 30% female division team leaders, and 40% female division team members.

Shinhan Financial has also been running the female leader development program 'Shinhan SheHeroes' since 2018. The program includes group mentoring for leadership enhancement, lectures on humanities and the latest trends, and networking with senior leaders. Since its launch, a total of 280 female leaders have been developed up to the 6th cohort last year. Hana Financial is also operating 'Hana Waves' for female leader development. Woori Financial plans to introduce a female leadership program in the second half of this year.

A senior official in the financial sector said, "The glass ceiling still exists because there is not yet a sufficiently formed talent pool of women for senior positions. Once women are positioned in middle management and start being promoted, this issue will gradually be resolved."