The Business Case for Investing in Women’s Employment in Iraq COMPANY INSIGHT Zain Iraq Fostering Family-Friendly Policies for Women in the Workplace 2022 COPYRIGHT AND DISCLAIMER NOTICE Acknowledgements © 2022 The World Bank Group This company insight was prepared by Tala Mitwally, Yasmin 1818 H Street NW, Washington, DC 20433 Mohamed, Yasmine Ossaily, and Tamara Azar based on the work of Management Partners. The publication benefited from inputs Telephone: 202-473-1000; Internet: www.worldbank.org and comments by Nour Al Moghrabi and Sammar Essmat, and was edited by David Wood. The work was conducted under the general guidance of the Poverty and Equity Global Practice Manager Some rights reserved Johannes Hoogeveen, and supportedby the Mashreq Gender This work is a product of the staff of The World Bank Group. The Facility team lead Jonna Lundwall and Iraq country lead Gharam findings, interpretations, and conclusions expressed in this work Alkastalani Dexter, and IFC’s Gender and Economic Inclusion Group do not necessarily reflect the views of the Executive Directors of Manager, Henriette Kolb. The World Bank Group or the governments they represent. The The company insight was prepared as part of the Mashreq Gender World Bank does not guarantee the accuracy of the data included Facility (MGF). This Facility provides technical assistance to Iraq, in this work. The boundaries, colors, denominations, and other in- Jordan and Lebanon to strengthen the enabling environment for formation shown on any map in this work do not imply any judg- women’s economic participation and improve women’s access to ment on the part of The World Bank Group concerning the legal economic opportunities. The MGF is a World Bank - IFC initiative status of any territory or the endorsement or acceptance of such in collaboration with the governments of Canada and Norway. boundaries. It is mainly supported by the Umbrella Facility for Gender Equali- ty (UFGE) with contributions from the governments of Australia, Rights and Permissions Canada, Denmark, Finland, Germany, Iceland, Latvia, Netherlands, Norway, Spain, Sweden, Switzerland, the United Kingdom, the The material in this work is subject to copyright. Because the World United States, and The Bill & Melinda Gates Foundation. Bank Group encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial pur- poses as long as full attribution to this work is given. All queries on rights and licenses should be addressed to World Bank Publica- tions, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; e-mail: pubrights@worldbank.org Attribution — Please cite the work as follows: “IFC and World Bank. 2022. The business case for investing in women’s employ- ment in Iraq, COMPANY INSIGHT Zain Iraq: Fostering Fami- ly-Friendly Policies for Women in the Workplace”. All queries on rights and licenses, including subsidiary rights, should be ad- dressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@worldbank.org 2 FOREWORD BY THE WORLD BANK GROUP The International Finance Corporation and the World Bank are working with local partners to remove barriers to women’s participa- tion in Iraqi workplaces and build a community of companies that are dedicated to hiring, retaining, and promoting women. Even before the pandemic, there was an urgent need to level the playing field for working women in Iraq. The labor force participation for women in Iraq in 2017-2018 was 12.6 percent compared to 72.8 percent for men, whereas it is over an eight-year average (2010-2018) 12 percent for women compared to 77 percent for men. That is one of the widest gender gaps in the world – and it has deep social and economic implications. We at the World Bank Group recognize that access to economic opportunities is essential for allowing both men and women to live dignified lives and become active social agents. Attracting, retaining, and promoting women is also good for companies. It allows them to harness talent, making them more productive and competitive. In the bigger picture, raising female employment also contributes to economic growth and supports poverty reduction. Our recently published State of the Mashreq Women Flagship Report 1found that if Iraq raised its female labor force participation rate by 5 percent- age points in 2025, its annual economic growth rate would increase by 1.6 percentage points by 2035. Amid the ravages of COVID-19, boosting female employment would act as a catalyst for Iraq’s economy, making it stronger and more inclusive. That is especially im- portant given that years of conflict have already hampered economic growth in Iraq. As difficult as the pandemic has been, it has allowed us to re-imagine workplaces and to reflect on what those mean for Iraq’s women. We have been inspired to see the agility of some Iraqi companies, many shifting to more flexible, home-working and family friendly work modalities, thereby creating inclusive work models that are responsive to the needs of women. Under the Mashreq Gender Facility’s activities in Iraq, we have launched a series of company insights to showcase Iraqi companies that have created gender-responsive workplaces which support women and men. The company insights feature companies that are promoting greater inclusion of women in their workforce in three thematic areas: · Supporting women in non-traditional sectors, as Nafith Logistics Company is doing; · Promoting women in leadership positions based on Ashur International Bank for Investment’s experience; and · Fostering family-friendly policies for women in the workplace as exemplified by Zain Iraq. We hope these company insights will inspire and encourage other businesses in Iraq to develop more gender-aware environments based on insights into workplace models that work. Our utmost gratitude goes to the three companies that were profiled in these company insights for generously sharing their data and good practices, and for championing this important agenda. We also extend our gratitude to the governments of Canada and Norway for supporting the Mashreq Gender Facility (MGF), under which we are launching these company insights. The MGF is a five-year initiative to support the governments of Iraq, Jordan and Lebanon in their efforts to create a more enabling environment that contribute to increased female labor force participation. Saroj Kumar Jha Abdullah Jefri Regional Director, Middle East Department Regional Manager Middle East and North Africa Region Levant Countries The World Bank International Finance Corporation 1 (WORLD BANK GROUP 2024-2019) 3 Workforce Profile The Business Case for Invest- (December 2020) ing in Women’s Employment in Iraq Zain Iraq Fostering Family-Friendly Policies for Women in the Employees Composition: · 1888 Total Employees Workplace · Women: 575 · Men: 1313 FAMILY-FRIENDLY WORK IN IRAQ Composition of Women at each Increasingly, businesses worldwide recognize mutual benefits for companies level: and employees that participate in family-friendly work arrangements. Staff with Women’s Marital Status: children can excel as employees when they are supported in carrying out their caregiving duties, such support includes policies on employer-provided childcare, · Married: 38% flexible working hours, remote work opportunities, and extended parental leave · With Children: 48% (ILO, 2015). Such policies enable staff with care responsibilities to work more ef- fectively and productively and advance their professional careers. For their part, companies benefit from access to more talented staff and an improved corporate reputation. Often, women stand to gain disproportionately from family-friend- ly work arrangements, given that in many societies women are still the primary caregivers (OECD, 2002). IFC, a member of the World Bank Group, reported that improving access to childcare goes hand in hand with fostering workplace gender diversity and helping parents enter and advance in the workforce while enabling companies to strengthen their bottom line (IFC, 2017). While Iraqi women are expected to be the primary care givers in the family, most employees with children do not have access to flexible work arrangements, paid parental leave, and childcare support (UN Women, 2019). Without these policies, caregiver staff members – and especially women – tend to resign, ceding their professional careers to focus on raising children. Today, Iraqi women constitute just 12.6 percent of the labor market, one of the lowest participation rates glob- ally (Republic of Iraq, 2018). Family-friendly work arrangements can potentially address this enormous challenge to female empowerment in Iraq. The Iraqi public and private sectors alike have started focusing on enhancing gen- der diversity in the workplace. In 2015, the Iraqi government introduced workplace harassment laws and supporting flexible work programs and childcare centers (Government of Iraq, 2019), in an effort to increase female labor force participa- 4 tion. Businesses are increasingly recognizing the value of intro- Zain Iraq forms part of Zain Group, the leading mobile telecom ducing family-centered policies, to improve employee retention, innovator in the Middle East and Africa. Zain Iraq is among the boost productivity, and enhance overall business performance. largest private sector companies in Iraq. The company special- izes in providing support and assistance to emerging small and At the forefront of these developments has been the technology, medium enterprises (SMEs) and has enjoyed consistent growth media, and telecommunications sector – amongst the fastest in terms of sales, business reach, and job opportunities – espe- growing industries in Iraq, employing an estimated total of more cially for younger Iraqis. than 21000 employees in both public and private sectors with about 33% women employment. This company insight showcas- As a Zain Group subsidiary, Zain Iraq adheres to key diversity & es Zain Iraq, which is a telecom company that has realized the inclusion (D&I) objectives. Zain Iraq strives to promote the UN importance of supporting caregivers in the workplace and were Sustainable Goals through its business by reducing inequality, the first to adopt childcare policies in the sector. The company’s respecting the environment, fostering innovation, and building family-friendly policies have improved staff experiences, while prosperous communities. Zain Iraq has designed these policies also boosting Zain Iraq’s bottom line. The sample size however is around four key pillars, which falls specifically under D&I umbrel- la and it is one of the first companies in the region to establish a not statistically significant and cannot be used to draw definite Diversity and Inclusion Division within its organizational struc- conclusions but rather provides anecdotal evidence on the topic ture: (1) climate change, (2) sustainable business, (3) inclusion, of this study. and (4) youth (Zain Group, 2020). Within this D&I framework, Zain Iraq established its own “Gen- COMPANY BACKGROUND der Diversity and Inclusion” program in 2017, which was initially launched under the title of “Women Empowerment (WE) 2020 — Zain Iraq is the leading telecommunications company in Iraq. WE INITIATIVES.” The WE Initiatives program heavily informs Zain Iraq’s approach to supporting staff with family-friendly work ar- Zain Iraq has a customer centric strategy that is based on under- rangements, which ensure that parents – and especially women standing the needs of its consumers and partners. The strategy – can participate equally in the workplace. enabled the company to provide tailored and advanced services to more than 16M subscribers, utilizing its superior and fastest 4G-LTE network in the country. 5 regarding the application of flexible hours for working mothers “Our corporate values of Heart, with children up to the age of four years, “As a leading innovative Radiance and Belonging hold corporate entity in the region, it is incumbent on us to provide more supportive working environments for female employees diversity at their core. We believe and forging an inclusive working environment.”. Under his lead- in the importance of a diverse ership, the first Zain Group Chief Diversity and Inclusion Officer workforce and what it brings to both was appointed for the Group and the first female Chief Human culture and business. Hence, we will Capital Officer was appointed for Zain Iraq. continue our D&I journey, inspiring other organizations in Iraq and MENA to prioritize D&I programs and Extended Parental Leave: initiatives for the impact they have Since 2018, Zain Iraq has provided exemplary maternity leave on individuals, teams, companies, and policies that ensure new mothers can attend to their caregiver duties. Under the policy, employees are entitled to a total of 120 communities.” calendar days of fully paid maternity leave including 70 materni- Rasha Barakat, Chief Human Capital Officer ty days and 50 childcare days (well above the legally required 98 days). According to Zain Iraq management, these family-friendly work arrangements have led to an annual cumulative growth WHY ZAIN IRAQ? rate of about 60% in the recruitment of women with children. In addition, Zain Iraq encourages male staff members to take two The World Bank Group (WBG) had conducted several interviews days of paid paternity leave when their child is born, which is not with leading Iraqi private sector companies that could be the required under Iraqi labor law. subject of this study. Based on a selected set of criteria such as company policies and availability of quantitative HR data, com- pany gender diversity efforts on relevant topics, previous experi- ence with the WBG in particular the IFC Gender team, size of the company. Zain Iraq proved to be a prominent Iraqi private sector company that has made great strides towards gender diversity, in particular fostering family-friendly policies for women in the workplace. As such, Zain Iraq was selected to be the subject of this company insight. KEY INITIATIVES TO FOSTER A FAMILY- FRIENDLY WORKPLACE Zain Iraq has adopted several initiatives aimed at supporting caregivers through family-friendly work arrangements. Health and Childcare Support: Since 2019, Zain Iraq has instituted a company-wide childcare policy that helps employees balance their work and parental Leadership commitment to embedding family- obligations. In September 2010, Zain Iraq established an on-site friendly policies: nursery at company headquarters in Baghdad. Staff members Zain Vice-Chairman and Group CEO, Bader Al-Kharafi, has always can send their children to the nursery for a nominal fee, between believed in the importance of a diverse and inclusive work cul- the ages of 3 months and 4 years. From 2018 onward, with ture. In 2018, Mr. Al-Kharafi commented on Zain’s new HR policy large improvements in the country’s security, the numbers have 6 increased steadily by 6% annually to reach 26 children in 2020. under the “Women Empowerment WE 2020 – WE INITIATIVES,” This year, 30 children are attending the on-site nursery. Parents which would contribute to appointing 25% more women to can register their kids in Zain nursery with nominal fees. For leadership positions by 2025. The WE Initiatives, that targeted healthcare support, Zain Iraq provides comprehensive medical women from across all Zain operations globally, have included insurance to staff members and their families. internal discussion series and presentations aimed at promoting a gender-diverse work environment. Zain Iraq adheres to fair remuneration policies, which ensure that all staff – regardless of their gender – receive equal pay opportunities. Finally, Zain Iraq has implemented an anti-discrimination and harassment policy, which allows staff to register complaints confidentially and have issues resolved impartially. Taken together, these safe work policies reiterate that working parents should feel included at Zain Iraq and supported in their dual responsibilities. “As per our sustainability strategy, Diversity & Inclusion concept Flexible working hours: is not limited to Zain’s internal Zain Iraq allows staff members with children to work more flexible environment, but it is one of the hours in an effort to balance work and home life responsibilities. sustainable development goals, Employees can choose to begin between 8.00 am and 9.00 am which we consider for every single each day, which provides working parents with more flexibility to drop off their children at school. Women returning from maternity project, activity, service, and product leave are entitled to work 7 hours including a lunch break for two to make sure that we are reachable years after giving birth. In addition to these guaranteed benefits, and accessible by all. Thus, shared staff members can negotiate flexible working hours and work- values between the corporation and from-home arrangements with their managers, so that they can society are achieved.” meet their care responsibilities (during COVID). Rana Mufeed, Head of Corporate Sustainability Department Equal opportunity and a safer workplace: The company ensures that caregivers can continue working by providing an equal opportunity workplace. Zain Iraq has THE BUSINESS BENEFITS OF FOSTERING developed genuine family-friendly working arrangements that A FAMILY-FRIENDLY WORKPLACE have succeeded in progressing women through the management pipeline. For example, the Centered Leaders Program which is a Introducing family-friendly work arrangements has had several 2-year women leadership program that addresses the needs for positive impacts on Zain Iraq’s business, including the following: the different levels of employment across Zain. Six Iraqi female employees from junior and mid management levels were selected Improved Corporate Reputation  to join the 40 high potential female leaders from the global Zain Group. This two-phased program includes the learning phase By providing family-friendly work arrangements, Zain Iraq to ensure female participation within the training calendar and has impressed customers and other industry figures with the succession plan, followed by a “Mentorship” for the duration of company’s commitment to staff welfare. Already, Zain Iraq has 3 months. Additionally, Zain Iraq has instituted various policies received considerable media attention for its willingness to 7 support employees in maintaining a healthy work-life balance. 23% of total female workforce in that year) quit the company, Notably, Zain Iraq’s CEO Ali Al-Zahid was named the Middle East’s which has dropped to just 80 females leaving last year. Zain Iraq Best CEO in the Telecommunications Industry by the Dubai- takes particular pride in retaining female staff members who based CEO Middle East magazine in 2019. The award recognized have just returned to the office from giving birth as a result of the Zain Iraq’s progressive management style, which has led to flexible work arrangements, family-friendly policies and on-site policies of gender diversity, female empowerment, and fostering nursery. At present, 47 percent of Zain Iraq’s female employees a family-friendly environment – all while presiding over business have children, indicating that this considerable group has struck growth and profitability. Zain Iraq’s positive press coverage a balance between familial and work obligations. indicates that the company’s overall reputation has benefited from supporting staff members with family commitments. Wider talent pool in leadership positions Zain Iraq benefits from accessing a wider talent pool, given Increased Productivity that qualified women continue to work and grow with the Zain Iraq’s HR team reports that working parents can focus on company instead of resigning to raise children. Family-friendly work more easily during office hours thanks to the company’s work arrangements have helped the company to achieve gender childcare support policy. Previously, caregiver staff members had equality more broadly among the younger generation of Zain worried about leaving their children while at work, dividing their employees (aged 20–30), with 49.2 percent of female employees attention between employment and personal duties as noted in 2020 having stayed for 5 years or more compared to male during HR’s periodic employee’s engagement meetings. Zain employees who have stayed for 7 years or more. Furthermore, in Iraq’s nursery service has alleviated this stress, giving parents the last three years, the company has attracted more women, peace of mind that their children are being cared for nearby. On increasing the number of newly hired females from 32% of total average, around 13–20 percent of Zain Iraq’s working mothers hires (40 female hires out of 126 in 2017) to 49% total hires (107 and fathers have been placing their children with the on-site female hires out of 219 in 2020), a figure approximately equal to nursery in recent years. the number of males. “Being a mother of three children and an employee, I would not have returned to work if Zain Iraq had not provided me with nursery services. Now, I am more confident that my children are safe and that I can reach them in no time in case of an emergency.” dina ghaleb omer Greater staff retention Family-friendly work arrangements have enabled Zain Iraq to retain more female staff, who otherwise might leave the company to focus on raising children. Zain Iraq’s HR team reported that the company has witnessed far fewer resignations by female staff in recent years. In 2018, 178 women (representing 8 WHAT’S NEXT FOR ZAIN IRAQ: LESSONS LEARNED Zain Iraq has immediate plans for developing family-friendly work  Ensure leadership commitment: when leadership policies even further. The company intends to allow mothers actively participate in fostering family friendly working of newly-born twins to become automatically entitled to an environments and lead by example, they send a power- additional month of remote work before returning to the office ful signal about the importance of this culture for the from maternity leave. More generally, the COVID-19 pandemic business and community. demonstrated to Zain Iraq’s management that remote work arrangements can offer a long-term solution for caregiver staff  Empower management and secure their buy-in: members to balance their familial and work obligations. In fact, Family-friendly work policies cannot operate effective- Zain is currently in the process of finalizing rules and regulation ly without sincere, unqualified buy-in from company for adopting work from home strategies on full time basis. In management. Creating a supportive management cul- fact, Zain is reviewing potential rules and regulations that would ture is key to ensure related initiatives are appropriately allow such strategies to be implemented. resourced across the organization. While deep cultural Another plan for zain Iraq for 2022 is to substitute the childcare change is possible only if management is empowered facility with cash allowance granted to mothers of babies whose to be part of the solution. age ranging from 4 months up to three years, which will assist  Support staff through communication and tools: Zain Iraq to cover the employees of all Zain offices throughout Family-friendly work arrangements rely on trust and Iraq and include more women beneficiaries.  openness between management and staff. Companies should strive to foster a culture of collaboration, un- derstanding, and tolerance between management and employees, as well as amongst employees themselves. Providing training and grievance redress mechanisms complements these efforts to ensure equal opportuni- ties and a safer workplace.  Be flexible: Companies must devise overarching pol- icies, while retaining a level of flexibility for matching independent circumstances. Not all parents face the same challenges, meaning that a “one size fits all” ap- CONCLUSION proach will not work effectively. In the modern, highly competitive professional job market,  Track progress: HR departments should create and business owners need to explore ways of empowering female employees, including through facilitating a better work-life maintain databases and tracking methods that illus- balance. A flexible and “family friendly” workplace attracts high- trate how family-friendly policies can improve a com- performing employees of both genders, increases the probability pany’s bottom line and frame their goals and objectives of retaining experienced employees, and enhances women’s accordingly. Measure your impact! economic empowerment. Zain Iraq positions itself as an  Involve men in gender-initiatives: An important organization attuned to the needs of Iraqi women, as evidenced factor in creating change is increased participation by its progressive and innovative human resources policies, from men as gender diversity advocates. Accordingly, which help women balance their careers and their family men should be engaged from the start of any compa- responsibilities. The case of Zain Iraq mirrors the approach of Zain Group: it has examined competition from not only a business ny’s gender-equality journey both as managers and as and profitability perspective but also from a human perspective. colleagues. 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Women’s Economic Empowerment in COSIT Iraq, 2012 Employment statistics by Ministry and by Gen- Iraq: IraqWEEAPJan172019en.pdf der http://www.cosit.gov.iq/AAS2016/humandevelpment/human- dev(1).htm 10 Contact Information 1818 H Street NW, Washington, DC 20433, USA Fax: 202-522-2625 E-mail: pubrights@worldbank.org May 2022