Working towards a woman’s world

Women are driving labor market growth, and we find evidence of a narrowing gender pay gap.

Headshot of Taylor Bowley

Taylor Bowley

March 2024

Key takeaways

  • As more women secure higher education, they have access to better career opportunities and, consequently, higher average earnings. Bank of America internal data suggests a narrowing gender pay gap, as the difference between women's and men's pay rises associated with a job change has been predominantly positive since 2019.
  • Since the pandemic, women have driven labor force growth and significantly contributed to re-employment trends. In fact, Bank of America internal data on small business accounts indicates that sectors with the highest share of female workers saw a bigger contraction in payroll payments at the start of the pandemic and a more rapid recovery than all sectors since 2023.
  • All of this suggests female consumption can remain an important driver for the economy in the coming years, but the impact will differ by sector – retailers that cater to personal care and experiences could benefit more as women unleash their spending power.

Read our full analysis for a more in-depth look at these trends.