Gender Pay Gap Reporting
Employment Law, Government / 23 August 2023
On 11 August 2023, the Government announced its commitment to closing the pay gap for Kiwi women by introducing mandatory gender pay gap reporting in Aotearoa.
What is the gender pay gap?
In 2021, the Ministry for Women reported that the gender pay gap was 9.2%. The gender pay gap compares the hourly earnings of men and women in full-time and part-time work.
Why is there a gender pay gap?
According to a Report released by the Ministry for Women in 2017, 20% of the gender pay gap can be explained by occupational, vertical, segregation and patterns of participation. The remaining 80% is ‘unexplained’.
What does this mean for employers?
Within four years, it is expected that the legislation will require companies with over 100 employees to report on their gender pay gap. This will form part of other Government initiatives that have been introduced to address pay equity, such as the Fair Pay Agreements, amending the Equal Pay Act in 2020 and Kia Toipoto for public services.
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