Marching forward – Closing the Gender Pay Gap and Unlocking Workplace Equity

Each year on International Women’s Day, we celebrate the achievements and resilience of women across various industries. However, Workplace Gender Equality Agency (WGEA)  recently revealed that Australian women earn, on average, $28,425 less than men annually, equating to only 78 cents for every dollar, that is earned by men. This disparity underscores the need for small businesses to work harder to implement solutions to bridge the gap.

Addressing the barriers to pay equity

According to Lina Altarifi, Executive Director, Business Solutions Hub, small businesses need to transition from passive support to tangible actions.

“Creating equitable workplaces requires more than policies; it demands a cultural reset,” says Lina.

“Employers must critically assess hiring practices, promotion pathways and flexible work arrangements, to ensure they are fostering inclusivity.”

Flexible work arrangements are crucial for equal career progression. Women often assume primary caregiving roles, limiting their advancement opportunities. Encouraging parental leave for both men and women, normalising part-time leadership roles and embracing hybrid work models are essential steps to overcome these barriers.

The power of transparency and accountability

One of the strongest levers in closing the gender pay gap is salary transparency. It forces businesses to confront the reality of pay inequity and take action.

“Transparency forces small businesses to confront uncomfortable truths,” Lina says.

“It’s no longer enough to say you support gender equity – employees, stakeholders and customers are now holding businesses accountable for their actions.”

“Businesses that have proactively closed pay gaps have seen tangible benefits, including higher employee retention, increased engagement and enhanced reputation. Leading companies are actively reviewing salary structures, conducting gender pay audits and fostering inclusive hiring practices.  Small businesses need to follow this also.

March forward –  steps for businesses to take now

According to Lina, to continue to ‘march forward’ into a future of greater workplace equity, businesses must commit to practical and impactful change.

Here’s how companies can take action today:

1. Conduct a gender pay audit by identifying disparities and address inequities before they affect retention and reputation.
2. Champion women in leadership by setting up measurable targets for female representation in more senior roles.
3. Implement flexible working solutions by supporting employees with caregiving responsibilities by offering flexible schedules, remote work and paid parental leave.
4. Review hiring and promotion practices by ensuring job descriptions, hiring panels and promotion pathways are free from unconscious bias.
5. Commit to pay transparency by opening conversations about salary expectations and fairness foster a culture of trust.

A collective responsibility for change

International Women’s Day serves as a powerful reminder that gender equity is not only a women’s issue, it is a business imperative. Small businesses that prioritise pay equity and inclusive workplace policies will attract top talent, while also driving better financial performance and innovation.

“Together, we can close the gap, level the playing field and create workplaces where everyone thrives.” Lina says.

The journey towards equity requires collective action. If your business is ready to take the next step in creating fair and inclusive workplaces, contact Business Solutions Hub Human Resources Team on 1300 445 687 or email info@businesssolutionshub.com.au