Australia has fallen from 14th to 70th on women’s economic participation in the World Economic Forum’s global gender gap index. The gender pay gap amongst full-time employees remains at 14.2%. This report identifies strengths and weaknesses of the current national gender pay gap reporting regime and recommend pathways to better enable the legislation to be a driving force for reducing, and ultimately eliminating, gender pay gaps.
By: Miriam Glennie, Anna von Reibnitz, Jananie William, Sally Curtis and Sarbari Bordia
Posted on
Overview
Despite Australian legislation enshrining equal pay for equal work in 1972, nearly 50 years later the average Australian woman still has to work an extra 61 days a year to earn the same pay as the average man. This persistent inequality has important consequences. It leaves women economically precarious, it creates significant gaps in retirement savings, and exacerbates the poor financial outcomes that women face in both the short and long term.
As well as the negative impacts on individual women, by devaluing the work of one gender, Australian society and the Australian economy are missing out on the full impact of what women and men can contribute. Gendered preferences in working patterns and caring responsibilities that are often used to explain, and justify, the gender pay gap are driven by strong societal norms and job segmentation. This means the ‘choices’ women make in their careers and the types of industries in which they work, are inherently constrained.
To improve gender equality in Australia, a multifaceted approach is needed. This includes a focus on improving parental leave (particularly for men), affordable childcare, valuing women’s work and work that is stereotypically done by women, addressing occupational segregation, and increasing pay transparency.
Gender pay gap reporting is an important element of the wider package of support needed to tackle gender inequality in the workplace. In Bridging the gap? An analysis of gender pay gap reporting in six countries, our colleagues at the Global Institute for Women’s Leadership at King’s College London put forward a series of recommendations to improve how gender pay gaps are reported internationally.
This companion report delves further into the Australian case study. It explores the data and insights gained through the cross-country report to provide a more detailed examination of Australia’s current gender pay gap reporting arrangements and recommendations on where we can improve.
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