Minister for the Status of Women, Kate Ellis has joined the Equal Opportunity for Women in the Workplace Agency (EOWA) in calling on employers to mark Equal Pay Day today, with a commitment to reduce any gender pay gaps across their workforces.

ABS figures show that the current gender pay gap between male and female earnings (based on annualised trend data of average full-time weekly earnings) is 17.2 percent. To close this gap, women would have to work an extra 63 days in a year to match what men earn.

"Reducing the gender pay gap will increase national competitiveness and productivity," Ms Ellis said.

Research in Australia and internationally, shows that there are both compelling economic and business reasons for closing the gender pay gap.

"The Government is working hard to ensure a more rapid, sustainable rate of change to narrow the gap, through measures in the Fair Work Act and the introduction of the Paid Parental Leave Scheme."

This year marks 25 years since the Affirmative Action (Equal Employment Opportunity for Women) Act was passed.

"While there is no doubt that women’s working lives and prospects have improved during this period, the gender pay gap remains a persistent problem," according to Director of EOWA, Helen Conway. 

"The current gap is about the same as it was 25 years ago and this is totally unacceptable."

"The gender pay gap threatens to embed long-term economic and social, disadvantage," she warned.

"This forecast has been reinforced by a 2010 report by the National Centre for Social and Economic Modelling (NATSEM), which estimates: that women can expect to earn nearly $1 million less over their lifetime than men; that women are two and a half times more likely to live in poverty in old age than men; and that by 2019, on average, women will have half the amount of superannuation that men have."

"Eliminating the gender pay gap is fundamental to achieving greater equality in the workplace.  Research by reputable organisations demonstrates a direct link between the number of women in senior roles and financial success," Ms Conway said.

"Organisations with good diversity records, which include actively addressing the gender pay gap, will have a competitive advantage as organisations compete for talent, strive to retain talent and look to improve productivity."

Many organisations are already well aware of the benefits of gender equality, including in relation to pay. It is time for all businesses to catch up if they are to remain competitive and take advantage of the assistance available to them.

EOWA is committed to assisting employers to address the gender pay gap and has developed a suite of useful website resources and practical information that relate to pay equity issues, including an online gender pay equity course, "Mind the Gap".  EOWA is also working to develop a gender-inclusive job evaluation standard with Standards Australia, industry experts and other stakeholders.

Minister Ellis’ media contact: Jamila Rizvi 0438 644 603

EOWA media contact: Daniela Marchetta 02 9448 8500 or Fiona Paris 0407 936 009

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