According to data released by the Australian Bureau of Statistics (ABS) on Friday, the national pay gap has dropped to 13.3 per cent. On average, women now earn 87 cents for every $1 earned by a man.
The previous low was 13.4 per cent in February 2021. While it’s trending in the right direction, the WGEA said there’s still work to be done.
As of November 2022, women’s average weekly ordinary full-time earnings across all industries and occupations are $253.50 less than men each week, sitting at $1,653.60. Australian men’s average weekly ordinary full-time earnings are $1,907.10.
WGEA director Mary Wooldridge said the gender pay gap figures only reflect base salary for full-time workers, meaning it’s only a limited reflection of the true situation.
“The gender pay gap is a handbrake on women’s ability to make ends meet. With inflation at 7.8 per cent and rising, everyday essentials are becoming increasingly unaffordable,” Ms Wooldridge said.
“Women are $253.50 worse off every single week as a result of their gender.
“Over the course of one year, the weekly difference of $253.50 adds up to $13,182. That’s income that could have gone towards meeting bills, mortgage repayments or additional contributions to superannuation funds for retirement.”
The WGEA cited National Australia Bank’s latest Australian Wellbeing Survey, which found around a third of Australians are experiencing “high” levels of anxiety. The most common cause of that stress is the cost of living, with women reporting much higher levels of financial stress than men.
Meeting the costs of needs that are essential to daily life and financial security, like medical bills and healthcare, major household items, and raising $2,000 for an emergency, were named as the most common causes of that stress.
“Gender pay gaps are a reflection of the way we value women’s and men’s contributions in the workforce,” Ms Wooldridge said.
“Employers who don’t make gender equality a priority will fail to attract and retain female talent and won’t benefit from the increased productivity, innovation, and profitability that flows from embracing diversity in your workforce.
“We must not forget that today’s calculation is a limited reflection of the true gender pay gap because it doesn’t include bonuses, overtime payments or superannuation.”
She added that the total remuneration gender pay gap is consistently 5 per cent greater than the gap for base salaries alone.
“Today’s gender pay gap also doesn’t include the wages of part-time or casual workers, many of whom are lower paid and also women,” Ms Wooldridge said.
“As a business leader, if you are aware that your organisation has a gender pay gap and you take no action to close it, you are effectively sending a message to women that the work they do is of less value than that of men.”
Ms Wooldridge encouraged employers and business leaders to step up and take action to ensure the work of all their employees is valued and rewarded equitably.
“By closing Australia’s gender pay gap, we will improve the lives of Australian women, their families, and communities and move closer towards the goal of being a world leader in gender equality.”
