Google Inc. (GOOG) Improves Retention of Women – a New Business Model?

Google Inc. (NASDAQ:GOOG) is a very analytical company. It compiles data in innumerable ways to look at innumerable patters of users and consumers of its products and services with the goal of making those products and services more intuitive and friendly for the average user. But what the company was noticing that within its own ranks, some users of the office space were leaving Google and moving on to other positions – a group that was, as a whole, on its way up the ranks to perhaps taking up the upper floors of the company’s headquarters:

Google Inc (GOOG)

Women. When Google Inc. (NASDAQ:GOOG) realized that it was losing a disproportionate number of women on its payroll, Google decided to turn its analytic engines inward to find a root cause and attempt a fix. In a recent article Google was revealing the results of its latest algorithm, which was designed to figure out why women were leaving the company, or why the company was having a hard time recruiting women in the first place. Several reasons were cited in the analysis, but one in particular stood out and seemed to have the most dramatic effect – maternity leave.

Google Inc. (NASDAQ:GOOG) originally supplied three months of leave for new moms with partial pay. However, after checking the data on retention of women, the company changed its policy to five months with pull pay for maternity leave. Guess hat? the female attrition rate at the company dropped by half. The story did cite other reasons – women not touting their achievement during a job interview, or not participating self-nomination processes for promotions – but the most dramatic effect that Google could control was maternity leave.

How this actually translates on the bottom line is still a little hard to say, but if encouraging women to tout their achievements and to grant more liberal maternity leave – so the mind is recovered, not just the body – an benefit Google Inc. (NASDAQ:GOOG) in making it a more diverse workplace, then perhaps such a policy can become a new model for companies across the country, as data seems to suggest a drop in female employment over the last several years (women in computer/technology jobs dropped 8 percent from 2000-2011 while the number of men rose 16 percent).

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!