The Australian government is taking action to improve workplace gender equality, with the gender pay gaps for nearly 5,000 Australian private sector employers being published for the first time.
It comes after reforms were passed in Parliament last year — which served as a key driver for employer action to speed up progress to close the gender pay gap in the workplace.
The Minister for Women Katy Gallagher said the publication of employer gender pay gaps is a pivotal moment for gender equality in Australia.
“The release of employer gender pay gaps marks a historic step towards transparency and accountability in addressing gender inequality,” said Gallagher.
“The gender pay gap is a persistent and complex problem that costs the Australian economy $51.8 billion every year,” Minister Gallagher said.
“Transparency and accountability are critical for driving change. By shining a light on gender pay gaps at an employer level, we are arming individuals and organisations with the evidence they need to take meaningful action to accelerate closing the gender pay gap in Australian workplaces.”
ACA President Annabel Crookes said the publishing of gender pay and leadership data is important for improving diversity in the construction industry.
“Gender diversity is still a challenge for the construction sector. The gender imbalance is one of the toughest problems we have to solve because it gives rise to so many other cultural issues which are blockers for improving diversity for all,” said Ms Crookes.
The Workplace Gender Equality Agency (WGEA) has published base salary and total remuneration median gender pay gaps for private sector employers in Australia with 100 or more employees.
The results show that:
- 30 per cent of employers have a median gender pay gap between the target range of -5 per cent and +5 per cent.
- 62 per cent of median employer gender pay gaps are over 5 per cent and in favour of men.
- The rest (8 per cent) are less than -5 per cent and in favour of women.
- Across all employers, 50 per cent have a gender pay gap of over 9.1 per cent.
For all employers, the publication of their gender pay gaps and workforce composition is an opportunity to assess their performance on gender equality and take action to improve it.
“It is encouraging to see that gender pay gaps for almost one-third of employers are close to gender parity within their workforce,” WGEA CEO Mary Wooldridge said.
“All employers should be aiming for a gender pay gap within +/-5 per cent. This range allows for normal business fluctuations and employee movements while signifying that an employer has a focus on identifying and addressing inequalities and is taking action to ensure there is gender equality throughout an organisation.”
There is significant variation in the gender pay gap across different industries, ranging from the construction industry where the mid-point employer gender pay gap is 31.8 per cent to the accommodation and food services iIndustry with a mid-point employer gender pay gap of 1.9 per cent.
Crookes said: “The urgent need for change, starting at the top, prompted ACA to take proactive measures five years ago, as the Board amended its rules to encourage every member to appoint at least one female director.”
Recognising more is needed to address the hurdles that prevent women from joining and also progressing in construction, last year all ACA members pledged to transform the culture of the industry within the next five years.
“As part of the pledge, at least 75 per cent of ACA members will attain the Workplace Gender Equality Agency (WGEA) Employer of Choice citation by 2028,” Crookes said.
Companies’ gender pay gaps are available on the Workplace Gender Equality Agency website: WGEA Data Explorer | WGEA
