
The Motherhood Penalty
Women Led Business
Why so many women leave corporate life.......
....and how women-led businesses are changing the story
This is not my story, but many women I know have left corporate roles during pregnancy, maternity leave, or shortly after returning to work. Some choose to leave for family reasons; others are quietly “managed out” through subtle side-lining, lack of flexibility, or stalled career progression.
The Corporate Challenge: Why Women Leave
Women rarely walk away from years of success lightly. Usually it is the environment, not the work, that pushes them out. Common reasons include:
1️⃣ Lack of Flexibility
Rigid hours, office-first culture, and minimal part-time options make returning after maternity leave feel impossible for many new mothers.
2️⃣The “Motherhood Penalty”
Slower promotions, fewer opportunities, reduced visibility and the assumption that motherhood reduces ambition. Even high performers report being excluded from projects while pregnant or during their return.
3️⃣ Childcare Costs and Availability
In countries like the UK childcare can be more expensive than rent. Without financial support, returning to work can cost more than staying home.
4️⃣Being “Managed Out”
This might look like:
☹️Sudden “restructures,”
☹️Roles being downgraded,
☹️Negative assumptions about commitment, or
☹️Simply making the environment uncomfortable enough that leaving feels like the only option.
None of this is about capability. It’s about culture and systems. When the system doesn’t support women, women leave the system. Regardless of the reason, the impact is the same; businesses lose skilled, experienced women with loads of potential.
My Own Experience
However, this was not my personal experience. For me, that didn’t happen as I founded my first business before becoming a mother. In fact I founded my first business because I didn’t think I would ever become a mother. I was 40 and had gone through failed IVF treatment. Having launched the business which grew rapidly, I then unexpectedly became pregnant. It was a massive challenge, but I had the advantage of being able to make the rules.
More recently I did some work for a Nordic travel company contracting with suppliers in Sweden, Norway and Denmark and realised that there is a different way. These countries have more generous parental-leave systems and women return to the workforce in higher numbers, and often at the same level they left. Flexible structures, shared parental leave, and cultural support mean women don’t have to choose between career and family.
But in countries where support is limited, including the UK, and much of the U.S; women still face a stark trade-off. Even with great intentions, many organisations simply aren’t designed to support the realities of motherhood.
The Rise of the Female Founder
The good news is that a growing number of women are rewriting the rules by starting their own businesses and building the workplaces they wish they’d had.
When door after door closes in corporate life, many women ask themselves a powerful question: “What would it look like if I built something on my own terms?”
For thousands, the answer is entrepreneurship; which brings them
1️⃣ Flexibility to choose when and where they work; to plan work around family life and to scale up or down based on their personal/family situation
2️⃣ Purpose by starting businesses because they want to solve a problem or create impact. With this comes renewed confidence, creativity and energy.
3️⃣ The chance to build a better workplace - a work environment with a supportive, people centred culture
And those cultures are not just good for women - they’re good for business.
Women Supporting Women: Creating the workplace they wish they’d had
One of the most powerful effects of women-led businesses is the way they support other women; especially mothers returning to work. Female founders are uniquely positioned to design roles that attract and retain talented women.
Here’s how:
1️⃣Offer genuine flexibility by offering remote working, adjustable hours, and recognition of outcomes over time. When people feel trusted, they give their best.
2️⃣Build a culture of empathy and understanding through experience of juggling work and family.
3️⃣Support women returning after a career break by providing re-onboarding, offer training to rebuild confidence and allow phased returns,
4️⃣Hire based on talent, not time spent at a desk. Mothers are incredibly productive; often outperforming peers because they’ve mastered focus and efficiency.
5️⃣Model the balance they want their team to have by switching off for family time and having boundaries
The Result - higher motivation, engagement and loyalty
Women who are trusted, empowered and given autonomy are not just happier; they are:
✨ more loyal
✨ more innovative
✨ more committed to quality
✨ more likely to stay long-term
✨ more willing to go the extra mile when it truly matters
Flexible, human-centred workplaces don’t reduce performance; they unlock it.
and women-led businesses are at the forefront of proving that.
Women are not leaving work - they’re leaving workplaces that don’t work
We are not “opting out.” We are opting for environments where we can bring our full selves, families included. And increasingly, we are creating those environments for ourselves, and for other women too.
When talented women leave corporate life to build values-driven, flexible, people-first businesses, they’re not just changing their own trajectory. They’re transforming the way work works. They’re showing what’s possible.
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