[2025 Gender Equality Index] A Decade of the Gender Equality Index, the First Step Toward Overcoming Low Birthrate

Subdivided into 5 Categories and 18 Items
Kakao Ranks First Among Top 100 Listed Companies
Hana Card Tops Among 37 Financial Institutions

In 2024, South Korea's total fertility rate stood at 0.75. If this trend continues, the population will decrease to approximately 35 million in 45 years, and the economically active population (ages 15 to 64) will fall to around 15 million, which is half of the current level. Is there no clue to a rebound in the face of this existential crisis? The 'Asia Gender Equality Index,' launched to seek such possibilities, marks its 10th anniversary this year. The Gender Equality Index has evaluated the efforts of major domestic companies toward gender equality and work-life balance, introduced exemplary cases, and encouraged practical action.

This year, the Gender Equality Index has advanced its evaluation methodology to keep pace with the changing times. The evaluation was subdivided into five categories and 18 items, based on more than 12,000 data points. Notably, the main evaluation items included the status of parental leave and flexible work arrangements, which became mandatory disclosures in business reports starting in 2024. In addition, the index enhanced its reliability by incorporating data from various sources as of the end of last month, including management disclosures, sustainability reports (ESG reports), press releases, and surveys.

The survey was conducted on the top 100 listed companies in South Korea by revenue (excluding holding companies and public enterprises) and 37 financial institutions. Among the top 100 companies, Kakao ranked first, receiving high marks for activating family-friendly policies and nurturing female talent. In the financial sector, Hana Card achieved the highest overall score across all categories. On the other hand, Korea Petrochemical Ind., Kiwoom Securities, and Korea Investment & Securities ranked at the bottom.

Numerous studies and cases have proven that gender equality can be a solution to the low birthrate problem. Asia Economy highlighted this issue in its 'K Population Strategy' special coverage last year. However, major domestic and international indicators still point to shortcomings. On June 11, the World Economic Forum (WEF) released the 'Global Gender Gap Index 2025,' in which South Korea ranked 101st out of 146 countries, dropping seven places from the previous year. In particular, the country ranked 114th in the 'Economic Participation and Opportunity' category, demonstrating that the glass ceiling remains firmly in place.

Nevertheless, signs of change are emerging. This year's Gender Equality Index survey identified several positive trends. The proportion of women appointed as board directors increased slightly, and the number of companies obtaining 'family-friendly certification' also rose. In some companies, the rate of fathers taking parental leave exceeded 70%, and the hiring of female employees increased through fair recruitment processes.

The Gender Equality Index is not merely a collection of statistics. It is a kind of public indicator that shows, in numbers, the choices made by our society and companies. Each figure serves as a mirror reflecting the maturity of related systems and perceptions, and as a compass suggesting policy directions for businesses and the government. The reason the Gender Equality Index has continued for ten years lies here?not for the sake of ranking, but out of a belief in the power of practical action to drive change. Gender equality is a basic condition for social sustainability and the minimum catalyst needed to overcome the demographic cliff. Only by facing the meaning behind the numbers and continuing efforts to change them will a sustainable path for South Korea truly open.