The Value of Board Gender Diversity vis-a-vis the Role of the Board in the Modern Company

Abstract

A number of countries have begun to adopt quotas for the appointment of women directors on company boards. Countries like the United States and Australia, have adopted the disclosure regime by requiring that public listed companies must disclose their diversity policies in their annual reports. This article argues that the board gender diversity debate must focus on the role of the board of directors in order to determine if board gender diversity can be valuable. Thus it analyses the role of the board in modern company law and then weighs the arguments being used in favour of corporate gender quotas against this in order to ascertain if these arguments hold water.

Keywords: company boards, women directors, board diversity, U.S., Australia