The Australian Council of Trade Unions (ACTU) says Australian women are effectively working without pay from this week – as of Tuesday, to be precise – until the end of the year due to the enduring gender pay gap.
Gap is narrowing slowly
While the gap is narrowing faster than before, significant disparities remain, especially in female-dominated industries such as aged care and early childhood education.
The gap, calculated as the difference in average earnings between men and women, varies depending on the measure used.
The Australian Bureau of Statistics places it at 11.5%, while the Workplace Gender Equality Agency (WGEA) estimates a wider gap of 21.7% when factoring in total remuneration, including bonuses and overtime.
On average, this equates to women earning 78 cents for every dollar earned by men, amounting to an annual shortfall of $26,393.
Albanese changes help
A recent report by the ACTU attributes the accelerated narrowing of the gap to legislative changes under the Albanese government.
These reforms include wage increases in key industries, an end to pay secrecy clauses, improved rights to flexible work, and broader access to multi-employer bargaining.
For example, early childhood educators and aged care workers, who are predominantly female, have secured wage increases of 15% and up to 28.5%, respectively, through industry-wide bargaining mechanisms.
Despite these advancements, structural issues remain. Female-dominated sectors such as childcare and aged care still offer lower wages than male-dominated industries like mining and construction.
Women are also more likely to work part-time and bear greater responsibilities for unpaid domestic work and caregiving, further compounding income disparities.
Report helps track issue
In February 2025, the WGEA will release its second report on gender pay gaps among private sector employers with 100 or more staff.
This will enable comparisons of year-on-year progress across major institutions and brands, offering greater transparency into the ongoing issue.
While progress is evident, experts warn that closing the gender pay gap will require sustained efforts across multiple dimensions, including cultural attitudes, workplace flexibility and systemic wage reform.