Managerial experience is the main consideration for selection.
In European financial services companies, fewer women were appointed as corporate board members in 2023; management experience is still preferred during the selection process, according to EY’s analytical research.
According to the summary of the international financial consulting company, 44 percent of the newly appointed board members of European financial service providers were women last year, which is a decrease of 7 percentage points compared to the previous year. Overall, the ratio of men was 57 percent in the investigated boards of directors.
At one third of listed European financial service providers, the proportion of female members does not reach 40 percent, which is required by an EU directive as a mandatory minimum by 2026 for large EU companies listed on the stock exchange in the executive boards. The same limit for all councils is 33 percent, they added.
Among financial service companies, experience in a managerial position was invariably the most important criterion for selecting new board members, 59 percent of them had this in 2023. Among the current members, 51 percent of women and 64 percent of men have this background.
In the companies, 36 percent of the new appointees had political experience, 27 percent had technological background, and 22 percent brought sustainability background knowledge to the management.