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This summer I was at a gathering in the weeks after the Supreme Court decision striking down Roe v Wade. A senior executive from one of the country’s largest corporations was asked about his company’s reproductive rights benefits. As is befitting of his company’s size and stature, he sketched out, with some pride, its top-of-the-line health care benefits. He went on to describe how pleased–and relieved–his senior leadership team was when they confirmed that their health insurance already covered travel for medical procedures. This means that it covers travel from states that restrict reproductive rights to those that provide abortions.
He was pleased because the travel provisions were in place, yes. He was also pleased because it meant his company did not have to take any action in those immediately post-Roe days. Instead of having to “make a statement,” they could keep their proverbial corporate head down and not risk “becoming part of the story.”
Crisis averted. Sigh of relief.
Except maybe not. Because sometimes remaining silent is not a bullet dodged, but rather a cost postponed.
And the cost, in this case, can be many of the women who work for–or buy from, or invest in–your company.
Women cannot afford to stay where they do not have support
Ellevest recently introduced its proprietary Ellevest Women’s Financial Health Index. The index is the first-of-its-kind, quantitative measure of the financial health of women in the U.S. It includes inputs like the gender pay gap, the availability of paid family leave, inflation, and women’s representation in government and corporate leadership. Also included is a measure of reproductive rights, given that they have a fundamental financial impact on women and their families.
This year, the index has been declining rapidly, in part due to restrictions on reproductive rights for women, as well as the increase in inflation and the tanking of consumer confidence, indicating that the financial health of women in the U.S. has also been heading south. In fact, by the index’s measure, women are in worse financial shape today than they were in the depths of the pandemic.
We also shared the results of our second annual Ellevest Financial Wellness Survey. It is perhaps not surprising that this survey showed that more than half of women–and more than 60% of millennial and Gen Z women–said that the overturning of Roe v. Wade has had a significant impact on their mental health.
But make no mistake: They are also making the connection to their pocketbooks. Millennial women rank the restriction of reproductive rights as one of their top five financial worries. For Gen Z women, it featured in second place behind inflation–interestingly, though perhaps not surprisingly, a tie with climate change. And lest you write this off as youthful “wokeness,” climate change was a top-five financial worry for women across all age demographics.
There are three main takeaways for corporate executives:
Silence can cost you women employees
Women report that they want to work at companies whose values align with theirs: Some 44% of women say they would look to leave an employer whose views on reproductive rights do not align with their own. That also goes for 56% of millennial women, 53% of Latinas, and 45% of Black women.
So how are women reacting to this rapidly shifting landscape? Well, they’re sending their resumes out. That’s right: A full 55% are looking for a new job. And 38% report that they are saving money so they can leave their job.
This could hurt.
Silence can also cost you women customers
But the economic cost of your company’s silence may not stop there. It can hit the revenue line: 59% of women–and two-thirds of younger women–say it’s important for them to invest and spend with companies that stand for reproductive rights. In other words, they may in fact want you to “become part of the story.”
That could hurt even more.
Companies are focusing on men’s top financial priority
A final insight for corporate leaders, from the survey: The Ellevest survey revealed that men’s top financial priority is growing their retirement savings. Fair enough. And here your corporate benefit plans–with their heavy emphasis on 401(k)s–tend to be on target.
Women’s top financial priority? “Supporting my family.” And understandably so, given that our society expects women to shoulder a disproportionate share of the family care responsibilities. This feels particularly acute, coming out of a pandemic in which women were the social safety net, and given ongoing economic uncertainty.
Corporate benefits plans are supposed to help… well, not so much. Only 5% of the country’s lowest paid workers, most of whom are women of color, had access to paid parental leave in 2020. And even among the nation’s top 10% of earners, it’s only 36%. Not to mention flexible work policies, child, and family care support, and so on. It’s another version of silence on an issue that matters to every woman–in this case, her primary financial priority.
So, corporate executives: Just as your women employees and customers may misinterpret your silence, don’t let her current silence lull you.
Sallie Krawcheck is the CEO and co-founder of Ellevest, the wealthtech company built by women, for women. Previously, she led Merrill Lynch, Smith Barney, and Citi Private as CEO and was CFO of Citi.
The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.
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