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The PFunc Pulse: Why are Women Exiting the Workforce in Droves?!
The HR Insider Guide. Read by 2,100+ leaders.
MESSAGE FROM OUR CEO’S DESK
PFunc is a company of mostly women. Internally, it’s easy to take for granted that we run the world. But some staggering statistics have recently come out about women in the workforce, so I’m coming at you today with data-backed strong opinions. TL,DR: Women are leaving the workforce in droves, despite being arguably more successful business leaders.
In July 165,000 women dropped out of the labor force while men's participation didn't budge, according to the National Women's Law Center. The unemployment rate actually improved. Not because things got better, but because fewer people were in the game. Jasmine Tucker at NWLC put it plainly, "Women are leaving the labor force in alarming numbers, and many who remain employed are underemployed."
This isn't a one-month blip. More than 455,000 women exited the workforce between January and August of last year, and 42% of them said caregiving and childcare costs were the reason. Daycare now costs more than rent in 17 states and more than college tuition in 38.
The US still hasn't passed a single week of national paid parental leave, the only World Cup 2026 nation and OECD country without one. It’s no wonder that a patchwork of state abortion bans has already pushed one in five people planning to have kids to move states, IWPR reports. You cannot strip autonomy from women and support for families and act shocked when women leave the workforce.
But here’s the kicker - female leaders are arguably more successful in the workforce! Women-owned businesses grew 17% from 2019 to 2024, nearly 50% faster than men-owned businesses, and added jobs almost three times as fast. Gender-diverse boards deliver 2-5% higher annual returns. The data isn't subtle. If you want a resilient company, supporting women isn't charity, it's strategy.
Here’s what you can do in your company to support women and working moms:
Put real paid parental leave in your handbook now - 8 to 12 weeks minimum. Don't wait for the law to force your hand.
Set up benefits and perks that support families including flexibility, part-time roles, fewer in-office requirements, monthly childcare or backup-care stipend.
Look at your leadership bench and ask honestly whether women are running P&L, not just supporting the people who do. Build gender equity into your hiring practices!
If you operate in a state with abortion restrictions, add a travel or care benefit rider so employees aren't choosing between their job and healthcare.
I run a company built almost entirely by women, so I'm not a neutral narrator here. But the numbers don't need my opinion to make the case. Support isn't a nice-to-have. It's the whole economy.
Emma CEO & Founder, People Function
P.S. Cheers to our 50th newsletter! I have loved having an outlet to share my (MANY) thoughts and opinions, so thanks for following along. If you also love this newsletter, please share it with a friend!
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THE HR BRIEFING 🗞️
THE LATEST NEWS TO KNOW
HR headlines and stories, curated with our perspective. 🤝
Over half of the workforce believes their executives operate under completely different rules, per a new workforce study, with 24% noting leaders routinely break their own policies regarding RTO, PTO, and basic workplace professionalism.
↪️ PFunc’s Perspective: Nothing says “ivory tower” like having policies that don’t apply to leadership. Effective retention strategy relies on authentic leadership and shared expectations. If you wouldn't adhere to the policy, don't mandate it for your team.
More companies plan to hire new talent in the second half of the year, but many lack the talent pipeline to fill roles, according to HR Brew. While candidates are eager to reskill and upskill, organizations lack the infrastructure to support them.
↪️ PFunc’s Perspective: When the external market lacks the talent necessary to fill open roles, companies should be focused on growing, developing and upskilling their internal talent. Invest in learning & development programs, teach your team key skills to keep them relevant in this AI-driven market, and support managers with coaching and mentorship programs.
A couple of other trending stories we think you’ll like:
Business Standard: Google's AI team urges applicants to submit a form so AI doesn't reject them. 😬
HR Dive: Six alignment questions to make HR a true C-suite partner.

Be the first to know about openings in our network by joining our Talent Network.
COMPLIANCE CHECK
Watch out for these HR compliances going into effect (or hitting deadlines) this month.
Missouri (eff. 8/28) – Servicemembers Civil Relief Act protections, including the right to sue for violations, will soon extend to Missouri and out-of-state National Guard members called to active duty for over 30 consecutive days.
New Hampshire (eff. 8/31) – Independent contractors can voluntarily participate in portable benefits plans funded by optional hiring party contributions without jeopardizing their contractor status.
Federal (eff. 9/9) –Employers with 50+ staff where over 50% hold H-1B or L-1 visas must pay extra fees, including for extensions, ranging from $4,000 to $4,500.
THE OPPORTUNITY EXCHANGE 📈
ROLES ON OUR RADAR
The PFunc job board is packed with open roles across our client companies, making it easier than ever to tap into our network.
This week, we’re highlighting the latest job openings in our network.
Human Resources Business Partner, RADAR – Serve as a strategic and operational partner to Commercial, Customer, and Corporate Operations leadership.
Field Marketing Specialist, Honeycomb.io - Team up with field sales, SDRs, and partners to plan, execute, and pull off stellar events and field marketing programs.
Senior/Principal Graphics Engineer, thatgamecompany - Collaborate with team members, gameplay engineers, artists and designers to bring the highest quality game experience to players.
See a role you’re interested in? Reply to this email and we’ll try to connect you with the hiring team. Hiring for an open role yourself? Reply to have your job featured in an upcoming PFunc Pulse issue.

THE PEOPLE PULSE
Welcome our newest Talent Consultant, Lauren Brooks! With 8+ years of startup recruiting experience, she excels at scaling Series B to F teams, optimizing recruitment ops, and building high-trust partnerships. Off the clock, you’ll find Lauren with her “medium-behaved” golden retriever, Cowboy, or cheering on her beloved Texas Longhorns football. Shoutout to our colleague Amit for referring her to us!

CLIENT HIGHLIGHT
From high-growth startups to established enterprises, our community of partners is growing. Check out the latest addition to our roster.
Porto Rocha – Our newest client is a New York design studio crafting high-impact branding, digital products, and cultural experiences. Since opening their doors in 2016, they’ve partnered with everyone from global tech giants to local artists to drive meaningful social change.
We’re thrilled to work alongside Porto Rocha’s team!
WHERE TO NEXT?
Our team is always on the move, popping up at the HR events, conferences, and summits we actually love.
AUGUST
Building with AI for HR Leaders (Virtual) – August 28 at 11 a.m.
Join Merritt and JamLab’s Jeremy Belcher and Rob Shapiro for a 1-hour workshop on practical AI integration. You'll master key AI tools and terms while building an email style guide and career ladder.
CHRONICALLY ONLINE📱
Here’s how the PFunc crew says "that’s a terrible idea,” professionally, of course.
STAY IN TOUCH 💌
If you’re interested in fractional HR support for your team, reply to this email or contact us to learn more about our offerings, pricing, and how we can support your growing company.
Join the Talent Network here (it’s free!). Whether you’re actively exploring new opportunities or happily employed but open to the right fit, becoming part of our network boosts your profile when roles align with your experience, skills, and career goals.💡
🗣️ Thoughts, feedback, requests? Let us know! 🗣️
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Every Tuesday, The PFunc Pulse delivers the HR news and compliance shifts you actually need to know about, without all the corporate fluff. Emma brings her unfiltered take on the trends keeping CEOs awake at night, served with the gritty, practical wisdom of a founder who’s seen it all. Real talk for better people decisions, week by week. (P.S. Do your work bestie a favor and forward this— friends don't let friends do old school HR. 🫢)

