Boards more diverse, but tokenism still prevails

THE MEDIAN BOARD representation of women in the BSE 100 companies was a little over 16% in 2023,similar to the levels a year ago. According to the Corporate Governance Scores 2023 report released by proxy advisory firm Institutional Investor Advisory Services (IIAS), for the full effect of gender diversity, women should comprise at least 30% of the board.

- ALOKANANDA CHAKRABORTY

The good news though is that the number of companies where women comprise 30% or more of the workforce increased from 16% to 24%.

Though the progress has been slow, the consensus among women directors is that things have improved. Vibha Paul Rishi, who sits on the boards of a host of marquee companies, says India Inc has come a long way from the days when she found herself to be the lone woman on a board.

The Companies Act 2013 made women's representation in listed company boards mandatory but the real push came from the Sebi mandate that the top 500 companies by market capitalisation must appoint at least one woman as an independent director from April 1, 2019. "But once it started, the numbers just grew," Rishi says.

Others agree. "Today, even very strong family-run businesses are co-opting professional women on their boards and I think that's a great step forward," says Ashu Suyash, founder & CEO Colossa Ventures.

But do the numbers call for celebration? A global comparison will put the picture in perspective.

Women make up one in three directors on the boards of S&P 500 companies worldwide. A decade after the implementation of the Companies Act 2013, 223 (or 45%) of the Nifty-500 companies have only one woman director in compliance with the law, as per Prime Database.