Costa Rica – Women’s Economic & Employment Issues +

Costa Rica is one of the oldest democracies in Latin America and one of the
few countries in the world that has abolished its military. With this in mind,
one might presume that Costa Rica has progressive, pro-women policies to allow
Costa Rican women, also known as ticas, to advance economically. Indeed, in a
study of more than 100 developing countries’ progress toward gender equity in
social institutions, Costa Rica ranks near the top, and the country is known
for having strong government-funded social and welfare programs in areas such
as education and health. By many standards, Costa Rica is a model for
progressive social policies that protect women.

However, Costa Rica faces longstanding gender inequities that limit growth
opportunities for women, especially when it comes to employment.

Impact of the Economic Crisis

Costa
Rica has not been immune to the global economic crisis. Recent statistics show
rising levels of unemployment and a struggling tourist economy, both of which
have greatly affected women’s work.

“For Costa Rican women, this crisis was a crisis inside the permanent
crisis they face due to gender inequalities,” adds Maria Florez Estrada
Pimental, from the Agenda Económica de las Mujeres UNIFEM Program. There is a
“consistent income gap-women earn around 19 percent less than men due to
discrimination,” she notes.

The crisis has hit working ticas harder than men. Unemployment statistics
confirm that levels of unemployment among Costa Rican women reached almost 10%
in 2009, whereas 6.6% of men are unemployed. Over 80% of working Costa Rican
women work in the service sector, primarily within tourism (one of the top
three leading industries in the country). For the thousands of women who work
in tourism, rising unemployment can be attributed to the decrease in foreign
tourists, especially from the United States.

Household Employees

Beyond the tourism industry, women also frequently find employment as
domestic workers. Thirteen percent of working women in Costa Rica are paid
household maids, and they earn just 36 percent of the average income for women
in Costa Rica. Domestic work is often looked down upon and working conditions
are often unstable or abusive.

Many of these household maids are migrant women. In fact, only 14 percent of
all domestic workers are Costa Rican, and the majority of domestic workers (37
percent) are Nicaraguan. Immigration, particularly from Nicaragua, is an
increasingly important issue in Costa Rica and has increased as a result of the
global financial crisis. As of 2010, fully ten percent of Costa Ricans are
immigrants, and 80 percent of those immigrants are from Nicaragua. Nicaraguans
come to Costa Rica in search of economic opportunity; indeed, the average
income in Costa Rica is double that of Nicaragua.
 
On the bright side, Costa Rica has new policies introducing minimum wage laws
for domestic workers. In addition, contracted domestic workers are allowed
maternity leave, and there are also organizations advocating for domestic
workers’ rights, such as Costa Rica’s Domestic Worker’s Association
(ASTRODOMES).

Turning Toward the Sex Industry

Faced with unemployment, women sometimes risk their health and safety in
order to earn money in sex work and sex tourism. Although tourism industries
(including sex tourism) were affected by the crisis, the downturn led to a
swell in the number of women seeking jobs as sex workers. Through organizations
and activist groups, women are working toward finding safe alternatives to the
industry as well as demanding greater protection of labor and human rights for
the sex workers.

Sex work is not prohibited in Costa Rica, meaning that sex workers cannot be
arrested. However, they lack the protection and job benefits afforded those
working in regulated fields. Alongside sex work comes the issue of illegal sex
trafficking, which is prevalent in Costa Rica. The country is a “source,
transit, and destination country for women and children” vulnerable to
being trafficked, especially for forced prostitution. The economic crisis seems
to have exacerbated the problem: in 2008 the US Department of State placed
Costa Rica on its watch list because of an increase in sex trafficking. Since
then the country has been removed from the list, in part due to increased
efforts by the government to combat the problem, but Costa Rica continues to
struggle with this form of modern day slavery.

Women in Agriculture

Agricultural work in Costa Rica continues to be dominated by men. Indeed,
only five percent of employed Costa Rican women work in agriculture. Yet more
ticas are turning to this important industry looking for work opportunities.
There has been a considerable uptick in the number of women-led agricultural
work cooperatives, particularly in coffee production. Many of these
cooperatives have been tied to the global fair trade network, which promotes
the production of goods free of social and environmental harm. They include
CooCafe, an organization which strives to employ more women and which offers
educational programs for women and children. Labor organizations are also
encouraging women to work in agriculture: recently the National Union of Small
and Medium Cost Rican Agricultural Producers (Upanacional) trained 19 groups of
women and families to cultivate their own produce and food.

The support of cooperatives and unions is essential for stability for
workers in times of crisis, when prices can be volatile. Agricultural exports
diminished in the face of the financial crisis, harming women working in the
fields, as well as those women whose husbands may feel compelled to leave home
in search of better work. As a result, many wives and children have been left
behind to operate the farms without pay as well as balance the demands of home,
school and other daily responsibilities.

The “Driving Force” in Recovery

Costa Rican women are earning more respect as potential leaders in the economic
recovery. Recognized for their creditworthiness and responsibility in managing
money, the National Bank recently issued a credit card just for women and
created a program entitled “Banca Mujer” which provides women access
to an array of financial services including millions of dollars in new loans to
businesswomen.

Along with proving themselves financially responsible and starting work
cooperatives, Costa Rican women also are surpassing men in education.
Journalist Gabriela Mayorga, who writes on women’s financial situation for one
of Costa Rica’s leading newspapers, notes that these savvy businesswomen have
attracted the attention of financial institutions post-crisis due to their
exceptional financial responsibility, and says that Costa Rican women are the
“driving force” of the economy.

But some experts say that Costa Rican women will have to work especially
hard for gender equity as the country recovers from the crisis, because the government
still lacks a strong labor policy against gender discrimination. In addition,
foreign investors are less concerned with gender discrimination and frequently
“only look at how to increase competitiveness” without concern
“for women as subjects with rights of their own,” notes Florez
Estrada.

Despite challenges, Costa Rican women have the advantage of living in a
country with a long history of unique, progressive policies. If ticas are
empowered-through government, private sector, and social changes- to
participate more fully in the economy, the country will no doubt reap the
benefits.

Published by the International Museum of Women on November 15, 2010 as part
of Focusing on Latin America. Special thanks to research assistant
Catherine M. Bartch.