The case for gender equality in the workplace is clear. It's not just a matter of fairness. It's also good for business and there's a strong body of research to support this. Achieving gender diversity requires strong leadership and accountability systems which are rigorously enforced. Leading employers will step up and meet this challenge.

The 2010 Global Gender Gap Report issued by the World Economic Forum puts Australia at the top of the list for female educational attainment but ranks us at 44 for female labour force participation and at 59 for wage equality for women. This makes no sense and frankly is totally unacceptable. With low unemployment and significant skills shortages, it is obvious we should utilise all the talent, male and female, that exists in Australia. Companies with good diversity records will have a competitive advantage as they compete for talent, strive to retain that talent and look to improve productivity.

The Equal Opportunity for Women in the Workplace Act and Agency (and their predecessors) have played a key role in facilitating efforts to achieve gender equality in Australian workplaces for the past 25 years, and this will continue. In March this year, the Minister for the Status of Women, the Honourable Kate Ellis, announced a set of reforms to improve the Act and the Agency. The key reforms can be summarised as follows;

1. A new name and focus - The Act is to be renamed the Workplace Gender Equality Act and the Agency will be known as the Workplace Gender Equality Agency. The objects of the Act will also be recast to acknowledge pay equity and caring responsibilities of both men and women as central to gender equality.

2. Streamlined reporting - Reporting by organisations captured by the Act (that is, private sector employers with 100 or more employees) will be based on gender equality indicators focussing on outcomes for men and women in the workplace. Reports will have to be signed off by the CEO and an employee representative, lodged online and made accessible to employees and shareholders.

3. Compliance - Compliance will be assessed referable to industry benchmarks and progress over time. The Agency will be given power to conduct organisational reviews to ensure reports being submitted are accurate and employers are otherwise complying with the Act. In addition, measures to ensure employers who are non-compliant with the Act are not able to participate in government procurement or receive government grants will be strengthened.

4. Assistance - The Agency will develop industry benchmarks and industry-specific strategies for achieving gender equality. It will continue to provide advice and support to reporting organisations and, in addition, will provide advice and support to organisations with less than 100 employees who are not required to report.

The legislation to give effect to these reforms is scheduled to be tabled during the current sittings of Parliament, with the first reports under the new system falling due in 2013.

The Agency is currently continuing with business-as-usual under the existing legislation as well as preparing itself to be able to administer the new regime under the proposed legislation. The Agency is committed to continuing to work closely with business and ensuring the transition to the new legislative requirements is as smooth as possible. 

Article for Clayton Utz Insights publication to accompany EEON summit 12 October 2011