‘Reality check’ for workplaces on gender pay gaps
Australian employers are being called on to address gender pay gaps at the top of their companies to ensure workplace equality becomes a reality.
Around 5.9 million workers will have access to pay gap information as the Agency for Gender Equality at Work publishes results for 10,500 employers.
While the wage gap in workplaces has decreased further compared to the same period in 2025, the gender pay gap in more than half of employers is more than 11.2 percent in favor of men.
High-paying and male-dominated industries are more likely to have large gaps.
Men are almost twice as likely as women to be in the highest-paying roles, while women dominate lower-paying jobs.
The agency’s chief executive, Mary Wooldridge, said it should offer a reality check for people who believe Australia has achieved equality in the workplace.
“Employers should treat gender equality like any other business goal,” she said.
“Women and men want a fair and equal opportunity to use their full range of skills and talents, get the most senior and highest-paying roles, feel safe in the workplace, and have some flexibility to manage other responsibilities outside of work, such as care.”
Gender pay gaps measure the difference between the average pay for men and women in an organization and can be used to measure differences in how their work is evaluated.
The construction industry has an average gender pay gap of 23.8 percent, followed by the financial services industry.
“(Construction) is a highly masculinised sector, (financial services) is a balanced sector in terms of their composition, but it is very unbalanced in terms of the proportion of men in high-paying roles and the proportion of women in low-paid roles,” Ms Wooldridge said.
“We need employers to be careful… so no one can get a certain gold star and rest on their laurels – they will need to continue working to narrow gender pay gaps and improve employee experiences.”
Large differences in discretionary pay, such as performance bonuses and overtime hours, remain a key driver of gender pay gaps for most employers.
Stephanie Mediero heads the women’s network for medical technology company Medtronic, creating leadership opportunities and supporting career development.
She said the playing field in STEM fields is unequal, especially between men and women.
“Gender targets alone are not enough to move the needle where we need to work to close the pay gap and improve women’s confidence in the workplace,” she told AAP.
“When women are confident in their skills and what they can offer, they are more likely to seize these leadership opportunities.”
This is the third year the agency has published pay gap data as a growing number of employers conduct analyzes and implement strategies to close the gap.
Women’s Minister Katy Gallagher said flexible working was an important part of shifting the dial towards more equal workplaces.
“When workplaces truly support flexibility, women are more likely to stay engaged, move into senior roles and increase their lifetime earnings,” she said.
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