The gender pay gap in the public sector is smaller than in the private sector, but it is still remote

Women working in the federal government earn an average of 86 cents for every dollar men earn, which equates to $19,000 less per year.

On Thursday (June 20), the Workplace Gender Equality Agency (WGEA) published a comprehensive report which found that the average gender pay gap in the public sector is 13.5%. This is 8.2 percentage points lower (better) than the average gender pay gap in total private sector pay of 21.7%.

This represents the first comparable results on the gender pay gap and gender equality outcomes in the Commonwealth public sector compared with the Australian private sector.

The Commonwealth Public Sector Gender Equality Scorecard: Key Employer Results 2022 is the first in a new series of annual reports publishing the results of the Commonwealth Public Sector Gender Equality Reports to WGEA across six Gender Equality Indicators (GEIs).

WGEA chief executive Mary Wooldridge said the scorecard showed progress had been made but there was still more to do in reducing the gender pay gap.

“The key message of the first Commonwealth Public Sector Gender Equality Scorecard is that good policy alone does not translate into results. Positive change requires thinking and well-thought-out actions,” she said.

“The Scorecard shows that the Commonwealth public sector has benefited from clear commitments and sector-wide reforms in areas that the private sector finds difficult to change, such as gender balance in leadership positions.

“Commonwealth public sector employers are also taking action to provide flexibility, which helps empower more women to take up leadership roles and ensures gender balance in key management positions.

“But all employers must do more to continue to reduce the gender pay gap, including tackling stereotypes that stop men taking parental leave and around women in non-management roles.”

Management positions in the public sector are generally gender balanced, according to the scorecard.

It shows that 48 per cent of all Commonwealth public sector employers have gender-balanced management staff, compared to 27 per cent in the private sector.

However, men are 2.5 times more likely to be in the highest earning quartile compared to 1.9 times more in the private sector. This number in the private sector is partly driven by highly paid non-management positions – specialists, craftsmen and technicians – which are dominated by men.

Men are responsible for 11 percent. general leave or main carer’s leave (compared to 14% in the private sector). Although 99 percent of employers offer paid parental leave, only 13 percent offer it universally, without the “primary” or “secondary” caregiver label.

This is much lower than the private sector, which is 21%.

Other key results of the scorecard show that the midpoint of the gender pay gap is lower than in the private sector – the median gender pay gap in total pay is above 6.9% compared to 9.1% in the private sector.

Three-quarters of Commonwealth public sector workers work full-time and nine per cent work part-time, compared with 54% and 21% respectively in the private sector.

Women are more likely to work full-time (73%) than in the private sector, where almost three in five women (59%) are employed part-time or casually.

This could reflect the normalization of flexible work arrangements in the public sector.

Minister for Women and the Public Service Katy Gallagher said the Government was focused on improving equality for women and the Commonwealth public sector should be an exemplary employer.

“Earlier this year we published the gender pay gap in the private sector for the first time, now we are shining a light on progress in the public sector on gender equality,” said Senator Gallagher.

“The private sector has been reporting to WGEA for ten years – now the Commonwealth public sector has also stepped up and reported.

“The public sector should set standards for promoting gender equality, and WGEA reporting is a key part of this….”

However, she stated that “there is still a lot to do.”

“For example, we know that we need to encourage men to take more parental leave and that part-time workers should not be overlooked for promotion.

“The positive impact is that the public sector has achieved gender balance at every level of management by setting goals and focusing on achieving them.”

The Scorecard contains data on Australian public service departments and agencies and public sector employers not regulated by the Australian Public Service Commission (APSC).

The Respect@Work report recommended public sector reporting to WGEA.

Subsequent legislation introduced by the Government of Albania requires Commonwealth public sector employers with 100 or more employees to submit gender equality reports to the WGEA.

This includes Commonwealth entities and companies and Australian Defense Force employees, meaning the results differ from previously published APSC data.

Original article published by Chris Johnson on Riotact.