The Effect of Women's Employment on the Profitability Level of Participation Banks

The International Money Fund (IMF) reported that although women earn 63% less than men, they spend three times more. Based on this striking statistical information, this research aimed to analyze the effects of women's employment in the society on the return on equity (ROE) and return on assets (ROA) of participation banks. The effects of women's employment values on Türkiye's participation bank ROA and ROE values between December 2005 and November 2023 were analyzed with a logit model. ROA was significantly and negatively correlated with female labor participation (r=-0.165), female employment (r=-0.166) and female unemployment (r=-0.333). Correlation coefficients showed that female unemployment rate was the most correlated factor with ROA. ROE was significantly and negatively correlated with female unemployment (r=-0.151). Effect of female labor force participation (B=0,009), female employment (r=-0,010) and female unemployment (r=-0,004) on ROA were statistically significant at multivariable level. However, effect of female unemployment on ROE was statistically insignificant (p>0.05). Results showed that female employment had significant effect on profitability of participation banks in Türkiye. Giving more emphasis to these issues and role of employed female in marketing strategies man make positive contributions to the short and long-term activities of banks.