As International Women’s Day approaches this weekend, discussions around gender equality remain at the forefront of public debate. In Australia, while there has been progress in reducing the gender pay gap, significant work still remains. A recent report by the Workplace Gender Equality Agency (WGEA) revealed that the median gender pay gap has improved to 8.9% for the 2023-24 period, marking a step in the right direction. However, as business leaders and analysts point out, there’s still much more to be done.
Business Council of Australia (BCA) Chief Executive, Bran Black, welcomed the improvement but highlighted the need for continued efforts to close the gap. He stated, “It’s a great sign that the gender pay gap is improving, but there is still more work to be done to make sure women have equal opportunity across the economy.” The BCA has long been a proponent of increasing female participation in the workforce, particularly in leadership positions, and this remains a key goal moving forward.
The WGEA report shows that larger companies are making more progress than smaller ones, with larger firms exhibiting smaller pay gaps overall. This trend suggests that businesses with more resources may be better equipped to implement practices that support gender equity. Still, Black noted that “more work is needed, particularly in male-dominated sectors, senior management roles and occupations with higher average remunerations.”
Supporting these findings, the Australian Bureau of Statistics (ABS) also released new data in November 2024 revealing average weekly earnings for full-time adults at $1,975.80. According to Bjorn Jarvis, head of labour statistics at the ABS, average weekly earnings grew by 2.7% in the six months to November 2024, slightly higher than the previous period. Despite overall earnings growth, Jarvis pointed out that, “with male average earnings rising faster than female earnings in the six months to November 2024, the gender pay gap widened slightly to 11.9%.”
This represents a small increase from the 11.5% recorded in May 2024, but is still an improvement compared to the 12% seen in November 2023 and significantly better than the 18.7% gap seen a decade ago. While it’s clear that progress is being made, the fact remains that men continue to outpace women in earnings growth, exacerbating the gender pay gap.
A report from the BCA, A Framework for Women’s Economic Advancement and National Prosperity, stressed the importance of creating equal opportunities for women in leadership. Black emphasized the value of diverse leadership, saying, “Achieving gender equity and supporting women in corporate roles is critical to retaining a broad view of perspectives, knowledge and talent that they need to be competitive.”
One of the key recommendations to further reducing the gender pay gap is increasing workplace flexibility. Black noted that “greater workplace flexibility would provide benefits for the entire workforce,” highlighting how initiatives that cater to the needs of both women and men can improve retention and job satisfaction across the board.
In summary, while the gender pay gap in Australia has seen some improvements, there is still a long road ahead to achieve true pay equity. Business leaders, policymakers, and the broader community must continue to advocate for systemic changes that create equal opportunities for all workers, regardless of gender. As we celebrate International Women’s Day, it’s a timely reminder that closing the gender pay gap is not just a women’s issue – it’s an economic necessity for the prosperity of the entire nation.
