Violence is a financial collapse: the hidden economic cost of gender-based violence

Gender-based violence is not only a social emergency — it is also a global financial shock. Every year, violence against women generates an estimated $1.5 trillion in economic losses, a figure comparable to the entire GDP of Canada. This cost is absorbed by households, companies and governments, ultimately slowing growth and weakening long-term development. Yet its financial impact remains largely underestimated by investors and corporate leaders.

The workplace is one of the areas most affected. Women who suffer domestic violence lose up to 10 additional working days per year, a consequence of physical injuries, psychological distress or the need to access medical, legal and social services. For companies, this translates into reduced productivity, higher absenteeism and greater turnover, all of which put pressure on margins and disrupt business continuity. In competitive industries, even small productivity drops can accumulate into a significant financial burden.

There is also a direct link with ESG performance. Companies that fail to implement strong safety protocols, confidential reporting tools or support for employees affected by violence risk a lower Social (S) rating. A weak S score can lead to exclusion from sustainable investment portfolios, reduced access to capital and reputational damage. In an era in which ESG metrics shape institutional allocations, ignoring gender-based risks is not only ethically questionable — it is strategically dangerous.

Mitigating this risk requires businesses to invest in safe and inclusive workplaces: clear anti-violence policies, trained HR teams, mental-health support and transparent governance systems. Prevention costs far less than the economic fallout generated by inaction.

A long-term solution also lies in women’s financial literacy. Access to financial knowledge increases independence, reduces vulnerability and strengthens economic stability within communities. Supporting female financial education is therefore not charity — it is a high-return social and economic investment.

Violence against women is both a human rights violation and a systemic financial issue. Building safer environments and empowering women are essential not only for social justice but also for creating resilient, sustainable economies.

Sofia Morgante