TRENDS – Why is equal pay not so equal?

Despite significant progressions over the last century, there is still a significant pay gap between the working men and women of Australia. Studies show women in their 20s and 30s now receive equal pay to their male counterparts but will struggle to maintain equal pay throughout their working lives.

Many reasons contribute to the inequality of earnings between men and women. These include:

• More women work part time and therefore earn only a proportion of full-time earnings. Increased work flexibility has resulted in an increase in part-time and casual work, which is dominated by women.
• Women have a general responsibility for caring and household work. This means that their involvement in the workforce is decreased over time because of a commitment to raising young children, and the responsibility of unpaid domestic work.         
• Occupation and industry segregation. The majority of women work in a narrow range of occupations traditionally suited for females – e.g. child care workers, teachers or nurses. People in these occupations generally earn less than those working in male dominated industries.
• Women are less likely to get bonuses and benefits added to their wages. Women are also less likely to work overtime because they work in industries where overtime is not an option, and generally have more responsibilities to return to at home.

In light of this, considerable steps are continuing to take place to ensure the equality of women in the workplace. Here are some of the strategies being considered by unions and women to make wages really equal:

• Open training to all to increase access to skilled work.
• Encouraging female workers to join unions: on average, female union members earn more money than females not belonging to a union.
• Encourage men to share family responsibilities.
• Make sure part-time workers get full pro-rata employment benefits.
• Ensure equal opportunity at work through a fair selection process.
• Make work more family friendly so men and women with children can stay at work.

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