A groundbreaking report released on Thursday June 24, 2026 by HERA at London Climate Action Week revealed a stark and urgent crisis:
Extreme heat is silently costing poor women workers over $57 billion in earnings annually, a devastating blow that ripples via families, communities, and national economies worldwide.
The report, titled: Counting the Cost of Heat: The Case for Urgent Solutions for Cities, exposes extreme heat not as a distant environmental concern, but as an immediate and profound threat to the economic development, public health, and gender equality.
While its effects are widespread, the burden falls disproportionately on women in the informal sector, who are on the frontlines of a rapidly warming world.
HERA’s comprehensive analysis, which includes a state-of-the-art heat solution cost-benefit calculator covering 11,408 cities globally, highlights the staggering financial toll.
In cities like Ahmedabad, Bangkok, Monterrey, and Freetown—chosen for their diverse climates—heat already siphons off 4% to 8% of city GDP each year.
Globally, the estimated $57 billion loss for informal sector women represents a significant 4% to 11% of their annual wages.
Beyond the economic figures, the human cost is immense. The report indicates that heat contributes to up to 20% of women’s mortality, a higher proportion than for men.
The financial losses suffered by these women, many earning as little as $3 a day, have far-reaching consequences.
When their income dwindles, so does their ability to invest in their children’s education, nutrition, and healthcare. For instance, in Bangkok, extreme heat reduces women’s annual spending on their children by $500.
Kathy Baughman McLeod, CEO of HERA, emphasized the urgency of the findings: “Extreme heat is draining growth, health, and equality, not a distant climate risk.
“The evidence in this report is unambiguous. Heat is taking a major toll on the women most exposed and least able to escape it, and it is quietly scarring the economies of cities that can least afford the loss.”
The report also underscores the critical danger of rising nighttime temperatures, which often climb faster than daytime highs and offer no respite, contributing to 85% of heat-related mortality.
This risk is particularly acute for lower-income residents living in homes made of heat-trapping materials. Despite the grim projections—impacts expected to intensify three- to fivefold by 2050—HERA offers a message of hope.
The report identifies a portfolio of affordable and effective interventions, including Heat Response Plans, urban green spaces, cool roofs, labor protections, and heat insurance.
These solutions are not only viable but also offer exceptional returns on investment. Heat Response Plans, for example, can generate returns of 12 to 90 times their cost, while cool roofs can lower indoor temperatures by 2 to 7°C immediately upon installation.
Crucially, HERA stresses the importance of inclusive design. Solutions must be built with women in the informal sector, not just for them, to ensure they reach those most in need and maximize their impact.
“When solutions are built with women in the informal sector, not just for them, they save more lives and protect more income per dollar than any blanket approach,” Baughman McLeod stated.
To aid policymakers and practitioners, HERA has launched a first-of-its-kind global tool. This tool allows users to analyze heat impacts on mortality and economic output across 11,408 cities in 190 countries, evaluate the costs and benefits of various adaptation measures, and develop tailored strategies.
The report concludes with call to action, emphasizing the need for sustainable financing, deeper partnerships, better evidence on the women-centered heat impacts, and increased heat literacy, as the window for building resilience rapidly narrows.
