Momentum for change to fix the gender pay gap is growing.
We see it this week with women’s economic opportunities firmly on the agenda at the Jobs and Skills Summit in Canberra.
But change isn’t happening fast enough.
Australia finally marked Equal Pay Day this week.
Equal Pay Day reminds us all that there’s still work to be done to close the gender pay gap, which increased to 14.1 per cent in the past six months. It’s a difference in weekly earnings of $263.90 each and every week.
As a result, in 2022, Australian women must work an extra 60 days after the end of the financial year to reach the same average weekly earnings of men.
This $264 deficit is burning a hole in already tight household budgets.
We’re all currently feeling financially stretched. A supermarket shop that used to cost a small part of our pay packet, is costing more and more.
But while inflation is over 6 per cent – driving big cost increases to everyday essentials like food and fuel – the $264 pay difference is acutely felt on tight household budgets.
Take, for example, a woman working in a local hotel or motel, or in hospitality.
If she’s working full-time, she’s earning an average of $1,145 per week, a difference of $125 less relative to her male colleague, working in the same industry, who takes home an average of $1,270.
She’s among the lowest paid workers in our community.
After paying for rent, fuel, food and utilities, there’s not much left for childcare, her children’s education, for clothes and incidentals and for other household necessities, let alone the things that will enable life-long financial independence.
She can’t put money aside for a rainy day or a down payment on a house. She lives on a wing and a prayer that her car won’t break down or she won’t chip a tooth.
When you break it down, that extra $125 her male colleague takes home every week makes a huge difference.
The gender pay gap persists and it’s taking a financial toll on women, across all industries, and in all States and Territories.
The good news is that there are achievable steps every single employer can implement to investigate, and fix, the gender pay gap in their organisation.
If employers want to attract the best talent, they need to prioritise gender equality.
Environments that enable and encourage women to take more senior leadership positions, policies that support flexible work and conducting regular pay audits are just some of the immediate opportunities that can be put in place.
These actions will be increasingly important for organisations with the Federal Government’s commitment to publish employer level gender pay gaps in the near future.
Taking action on gender equality is the right thing to do, it’s also a sensible business decision to make sure employers are prepared for gender pay gap transparency, to be able to articulate what analysis has been done and the steps being taken to close it.
And, while employers across all sectors continue to report massive workforce shortages, employees are also in an unprecedented position of strength.
It means it’s more important than ever for employees to get educated about their employer’s approach to gender equality so they can make informed decisions before accepting a job.
Tools, like WGEA’s Data Explorer, provide a comprehensive overview of the state of gender equality for an employer or for an industry.
Educate yourself on the causes of the gender pay gap. Learn what’s a myth and what’s a fact. And talk to your friends and family about the genuine challenges women face in the workplace as a result of their gender.
Increasing gender equality and closing the gender pay gap is good for Australian families, for workplaces and our nation’s economy.
Two months is a long time when you’re struggling to make ends meet.
Equal Pay Day is more than a reminder of pay inequality, it’s a call to action.
By fixing the gender pay gap we will drive long-term change that will benefit all Australians.