Gender disparity and enterprise expansion in the impact and transmission channels of ICT on unemployment in developing countries

Abstract

This study examines the impact of Information and Communication Technologies (ICT) on employment in 95 developing countries from years 2000–2021. The study focuses on short-term and long-term effects, gender differences, and the role of enterprise expansion. The results suggest a complex dynamic: on short term ICT's appear to stimulate employment for both genders but on long term, they can lead to a loss of jobs, particularly in sectors mostly dominated by women. The Human capital plays a crucial role as a mediator of the effects of ICT's on employment. However, it can also result in gender inequalities in accessing ICT-related job opportunities. In addition, while enterprise expansion may mediate the effects of ICT on employment, it can also have negative long-term consequences as automation continues to advance. To promote gender equality in the ICT sector, it is suggested to collect gender-disaggregated data to better understand the labour market, to develop training and employment policies, and promote female entrepreneurship.