In today’s professional landscape, many workplaces showcase the remarkable talents of women who are educated and dedicated to their careers. However, it often comes as a surprise to these women when they find themselves lagging behind their male counterparts a few years into their professional lives, unable to pinpoint the reasons for this inequity.
Women are undoubtedly striving for success. From a young age, they consistently outperform boys in various subjects—including math—starting as early as kindergarten. In numerous developed countries, women earn undergraduate and graduate degrees at rates surpassing those of men, often achieving superior grade point averages.
Yet shortly after graduation, many women begin to experience disparities in the workplace. Although women constitute 59 percent of college graduates in the U.S., they account for only 48 percent of individuals entering corporate roles. This trend continues when it comes to promotions; for every 100 men promoted, only 81 women receive similar opportunities. This average is further broken down by race: 99 Asian women, 89 White women, 65 Latina women, and only 54 Black women are promoted for every 100 men. This ongoing advancement gap creates a cascading effect across women’s career paths, resulting in diminishing representation at every level of leadership, often referred to as the “broken rung” in the corporate ladder.
This first broken rung not only signifies a gender gap but also leads to widening disparities at each subsequent level, including senior leadership positions. Even after efforts to enhance gender parity in corporate environments over recent decades, progress has been limited. The most significant gains have been observed in the executive ranks, where women’s representation has shifted from one in five top leaders to just over one in four. However, a 29 percent share in the C-suite is still far from achieving true gender equality.
This unequal representation cannot be attributed to a lack of ambition. According to McKinsey’s Women in the Workplace report, which was created in collaboration with LeanIn.Org, women have shown consistent levels of ambition comparable to men over the past decade. Seventy percent of both men and women express interest in promotions, with women under 30 and women of color demonstrating even higher levels of ambition. Yet this ambition often does not translate into actual promotions. Why is that?
After examining job profiles from various countries, including India, Germany, the UK, and the U.S., and analyzing career trajectories, a compelling conclusion emerged. On average, both men and women derive half of their lifetime earnings from the skills and knowledge brought into the job market upon starting their careers. The other half comes from the skills and experience gained over time, which we term ‘experience capital.’
An analysis of career trajectories in the U.S. reveals a troubling pattern: women are not accumulating experience capital at the same rate as men. They are failing to acquire the necessary skills and experiences required for promotions and optimal earning potential.
Statistically, men work an average of 10 years in the workforce, whereas women work only 8.6 years on average due to the prevalence of part-time positions, shorter workweeks, and more frequent, extended leaves for caregiving. Women are also more inclined to make career changes for flexibility, often accepting roles that reduce their income potential. Initial job selections account for only a small portion of the pay gap.
While skills can indeed be developed without changing jobs, they are predominantly acknowledged and rewarded during promotions. Therefore, the disparity in job advancement and promotions is a significant driver behind the income gap throughout women’s careers.
Organizations need to take action to close the broken rung by ensuring equal opportunities for leadership and promotion. However, simply waiting for corporate changes isn’t a viable strategy. Meanwhile, women can proactively seek opportunities to cultivate their experience capital. This motivation partly inspired the creation of The Broken Rung: When the Career Ladder Breaks for Women—and How They Can Succeed in Spite of It (Harvard Business Review Press, March 2025). Our goal is to empower women by providing insights into the broken rung phenomenon and encouraging informed decisions regarding industry, company selection, and strategies for building experience capital.
Recognize the Importance of Job Mobility
Selecting a growth-oriented occupation is essential. Engaging in industries that are expanding can provide opportunities instead of facing the backlash of those in decline. Shifts in occupations are a long-standing trend, shaped by technological advancements and societal changes. The COVID-19 pandemic has accelerated these shifts, yielding a record number of occupational changes in the U.S.
New job projections indicate an anticipated increase in job opportunities across multiple sectors. However, many of these positions will demand advanced skills. The challenge lies in equipping today’s workforce with the necessary training to meet these future job requirements.
Notably, most of the roles in declining sectors disproportionately affect women. Approximately 107 million additional occupational transitions may need to occur on a global scale by 2030, further emphasizing the need for reskilling and upskilling efforts.
Identify Expanding Occupations
Which jobs are expected to thrive? In the U.S., healthcare job sectors could witness a growth of up to 30 percent by 2030, filling roles for aides, technicians, and healthcare professionals. STEM fields are projected to grow by 23 percent, while transportation roles, including delivery drivers and ridesharing, may expand by 9 percent.
Nursing and home healthcare are among the fastest-growing occupations, a trend fueled by the aging population and changing consumer needs. This demographic trend will have widespread repercussions across various industries, influencing everything from product offerings to consumer spending habits.
Conversely, significant job losses are projected in customer service, sales, food services, production, and administrative support roles, primarily due to automation and shifts in work models. As a result, women are likely to face challenges in job retention, with projections indicating that they may be 50 percent more likely than men to need to transition industries by 2030.
Explore New Careers and Industries
With the emergence of new technologies, occupations that have never existed before will be born. About 9 percent of jobs evolve every decade, leading to new roles such as machine learning experts and AI developers. However, women remain underrepresented in high-paying, emerging job sectors.
Understanding new classifications of jobs—including wealth jobs, last-mile jobs, and frontier jobs—reveals that these trends will shape the future job landscape. Women typically dominate lower-wage wealth jobs, while frontier jobs are primarily filled by men, underscoring the opportunity gap that still exists.
Embrace Technological Advancement
To succeed professionally, women must adopt a technologist mindset. The presence of automation and AI will significantly reshape all career paths. Research highlights that a substantial portion of skills in the workforce will be impacted by technological disruption.
Women face the added challenge of underrepresentation in STEM fields. This gap highlights the need for all women, irrespective of their career paths, to develop technological skills, integrating them as essential tools to enhance productivity and efficiency in their roles.
A proactive approach includes dedicating a portion of your workweek to personal growth and skill enhancement—embracing continuous education and exploration of tech-related opportunities that benefit your current job.
Adapt to Changing Industries
Industries evolve, and workers often find themselves in roles that may become obsolete. While specific professions can be industry-specific, many transferable skills will enable an easier transition into other sectors. Recognizing how your capabilities could apply in diverse fields can significantly expand your career opportunities.
Target Growing Industries
Industries such as healthcare, transportation, construction, and tech services are showing significant growth. In contrast, sectors like retail and finance are declining, necessitating a strategic approach to your career trajectory.
Staying informed about industry trends is prudent for leveraging growth opportunities and anticipating potential threats to job security. Embracing a proactive stance will empower women to navigate their careers effectively, ensuring that they are always prepared for industry shifts.
Evaluate Geographical Opportunities
Additionally, the geographic aspect of career planning plays a crucial role. Some locations offer plentiful job opportunities, while others lag behind economically. Considering where to live can impact your professional network and job prospects, especially in a landscape where remote work is becoming normalized.
Ultimately, women must take responsibility for their career trajectories, focusing on chosen occupations, industries, and even regional opportunities to maximize their growth potential and build a rewarding career.
