How big is the gender pay gap in Australia?

The gender pay gap in Australia is an ongoing problem that continues to put women at a disadvantage in the workforce. Despite legal requirements for equal pay, women consistently earn less than their male colleagues in a variety of industries and professions.

Understanding the gender pay gap

The gender pay gap refers to the difference in average earnings between women and men in the same or similar positions. It is a broader issue than simply unequal pay for equal work, as it includes structural factors such as:

Disparities in promotions

Women are often passed over for promotions and management positions, leading to lower potential earnings.

Industry segregation

Women are concentrated in lower-wage sectors and professions, such as healthcare and education.

Caregiving responsibilities

Women often take on a disproportionate share of domestic and caring responsibilities, which can limit their career opportunities and earning potential.

The scale of the gender pay gap in Australia

As of February 2023, the overall gender pay gap in Australia is 13.3%, meaning women earn 13.3% less than men for full-time work. Despite efforts to address this inequality, the gap has remained relatively stagnant in recent years.

Identifying unfair remuneration

While the Workplace Gender Equality Agency (WGEA) tracks the gender pay gap, not all companies are required to report their data. However, a new bill currently being considered could require larger companies to publicly disclose employee salaries. This could make it easier for workers to compare wages and identify potential pay gaps.

Closing the gender pay gap

To effectively address the gender pay gap, several key strategies must be implemented:

Multi-employer negotiations

It involves collective negotiations between groups of employees from different workplaces in order to obtain better pay and conditions, especially in industries dominated by women.

Strengthening rewards salaries

The Fair Work Commission should ensure that pay under awards that cover a significant proportion of employees is adjusted to take into account gender equality considerations.

Promoting gender equality in the workplace

This includes implementing policies and practices that support women’s career advancement, such as flexible working, parental leave and mentoring programmes.

Raising awareness

Education and advocacy are essential to raise awareness of the gender pay gap and its impact on women’s economic security.

By taking a comprehensive approach to addressing the gender pay gap, Australia can create a fairer and more equal workplace for all.

Source: Business NewsWire