What is the gender pay gap?

The gender pay gap is the difference between what women and men earn in the workforce. It is an international measure of women’s position in the economy compared to men.

It is not the difference between two people being paid differently for work of the same or comparable value, which is illegal.

But the Federal Government’s Workplace Gender Equality Agency recently said Australian women typically earn $25,800 a year less than men, on average. That’s a gap of more than 20 per cent.

If you suspect that you are earning less than fellow male employees in the same role, because you are a woman, contact your workplace AWU delegate or health and safety rep, or call your branch on the numbers below. And if you are not a member, join your union!

Undervaluation of ‘Women’s Work’

“Women’s work” has historically been less valued than traditional male work.

For example, during World War II workers were needed to replace the men who had gone overseas to fight, and women enthusiastically filled the labour shortage.

In 1943, in response to rising pressure from women’s organisations, the Federal Government established a Women’s Employment Board, securing women war workers about 75% of the male wage.

But after 1945 there was a sharp decline in women’s employment. It was a big setback as women were generally forced to make way for the men returning from the war.

In 1951 a meeting of the international Labour Organisation passed a convention asking each member country to “by means appropriate … promote and, in so far as is consistent with such methods, ensure the application to all workers of the principle of equal remuneration for men and women for work of equal value”.

So far so good, but in Australia things took a bit longer.

It wasn’t until 1969 that the first wage equity decision by the Commonwealth Conciliation and Arbitration Commission (later the Australian Industrial Relations Commission) introduced “equal pay for work of equal value”.

The ruling officially set the female wage at 85% of the male wage. Better, but not there yet. Then a 1972 follow-up decision finally awarded women wholly equal pay.

If you suspect that you are earning less than fellow male employees in the same role, because you are a woman, contact your workplace AWU delegate or health and safety rep, or call your branch on the numbers below. And if you are not a member, join your union!

Equal pay 2012

In the years since the landmark 1972 decision, there has been minor improvement statistically.

But in February 2012, a full bench of Fair Work Australia made its first equal pay ruling.

In the landmark case the FWC accepted a joint submission from the Federal Government and unions to increase the pay rates in the Social, Community, Home Care and Disability Industry Award 2010 by up to 41%.

The submission argued the wage gap between SACS sector workers and public sector workers could be attributed to gender, as most work being performed by SACS workers was “care work”.

Gendered industry sectors and corresponding wage rates are just one element contributing to the gender pay gap.

Women are also more likely to work part time or have casual or insecure work, have responsibility for care and other household work (as became evident during the Covid pandemic), are less likely to get bonuses or overtime and have lower superannuation balances.

If you suspect that you are earning less than fellow male employees in the same role, because you are a woman, contact your workplace AWU delegate or health and safety rep, or call your branch on the numbers below. And if you are not a member, join your union!

What can we do about the gender pay gap?

The Workplace Gender Equality Agency requires organisations with 100 or more employees to report every year on their progress in narrowing the gap and addressing gender imbalances in the workplace.

But the Equal Pay decision shows clearly how influential union action can be in creating change

The Australian Workers’ Union will continue to actively pursue the best possible outcome for members including closing the gender pay gap and ensuring that all members are paid fairly for the work they perform.

If you suspect that you are earning less than fellow male employees in the same role, because you are a woman, contact your workplace AWU delegate or health and safety rep, or call your branch on the numbers below. And if you are not a member, join your union!

Queensland Branch: 1800 298 753 (toll-free).

NSW Branch: 1300 763 223 (toll-free).

Victoria Branch: 1300 362 298 (toll-free).

SA Branch: (08) 8360 1900

WA Branch: 1800 810 723 (toll-free).

Tasmania Branch: 1300 795 677 (toll-free).