The Growing Role of Women in the Workforce

Economics
Published

Women have long played a crucial and multifaceted role in the labor force. Increasing women’s participation in the workforce is not only essential for individual and family well-being, but also contributes significantly to overall labor force participation rates and economic growth by adding more workers and enhancing overall productivity.

Since peaking at around 60% in 1999, the women’s labor force participation rate flattened and then declined. As of March 2025, the rate is holding steady at 57.5%, and women now represent nearly half (47%) of the total U.S. labor force.

Prime working-age women (ages 25-54) represent a significant and growing segment of the U.S. labor force. As of 2024, they accounted for nearly 30% of the civilian labor force, compared to 34% for prime working-age men.

Moreover, higher levels of educational attainment are strongly associated with higher labor force participation. In 2024, about 70% of women with a bachelor’s degree or higher were active in the labor force, compared to only 34% of women who had not completed high school.

Parental status is also a significant factor in women’s labor force participation. Women with older children (ages 6 to 17) and no children under 6 years old had a higher labor force participation rate than those with younger children. Interestingly, women without children had a relatively lower labor force participation rate compared to those with children.

Further research from the Brookings Institution and The Hamilton Project2 highlights a significant shift: Women with young children (under 5 years), especially those who are highly educated, married, or foreign-born, are more likely to be in the labor force now than they were before the pandemic.

However, women account for just 11% of total employment in the construction industry. Of those, only 2.8% of women work in actual trade roles.

Looking ahead, the number of women in the labor force is expected to continue growing, driven primarily by the prime working-age women (ages 25 to 54). The Bureau of Labor Statistics estimates that roughly 3.2 million women in this age range will join the workforce between 2023 and 2033.

NAHB Senior Economist Jing Fu provides a more in-depth analysis on women in the workforce — particularly regarding race, industries and earnings — in this recent Eye On Housing article.

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