27-03-2025
Major change for group of Aussie workers
Large businesses in Australia will undergo a major change to address workplace gender equality after a bill passed parliament on Tuesday.
Recent data published by the Workplace Gender Equality Agency (WGEA) found the total remuneration average gender pay gap in Australia was a difference of $28,425 over the course of one year.
A review of the Workplace Gender Equality Act identified target-setting was an effective way to improve gender equality in the workplace.
Organisations that employ more than 500 people in Australia are now required to implement three gender equality targets into the workplace, and will have three years to achieve or make progress on their targets.
Employers can choose which targets they select from a menu, with priority areas covering the gender pay gap, workforce and board composition, support for carers and parents, consultation and prevention of sexual harassment.
The changes will apply to nearly 2000 employers and benefit an estimated 3.9 million employees.
WGEA found 56 per cent of employers covered by these reforms already had gender equality targets, and about one-third had set three or more targets which met the new requirements.
Employers who fail to meet the new requirements risk losing Commonwealth contracts, and will be named and shamed by the agency.
WGEA chief executive officer Mary Wooldridge said the new requirement was introduced to accelerate employer actions to ensure all employees were equally valued, rewarded and safe at work.
'While many employers are making great progress on gender equality, there is also a large group of employers who are not,' she said.
'Employers indicate that even when they are aware they have a significant gender pay gap, many haven't taken action to reduce it.
'Targets are specific, time-bound and measurable objectives that set a benchmark for employers to work towards. The evidence available shows they are effective in driving real change.
'By introducing a target setting requirement, Australia is ensuring large employers are publicly accountable to take action and make demonstrable progress towards gender equality.'
