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There is a 12% salary gap between men and women

For every $1 a man earns, a woman earns 88cents, $238 less per week, and annually $12,376

including bonuses, base salary overtime, and additional payments, the gender pay gap is 21.7%

over the year the difference adds up to $26,393

30% of employers have a median gender pay gap between the target range of -5% and +5%.

62% of median employer gender pay gaps are over 5% and in favour of men.

The rest (8%) are less than -5% and in favour of women.

Across all employers, 50% have a gender pay gap of over 9.1%.

the cause of the gap is the result of social and economic factors

including discrimination, working in different industries and jobs i.e. female-dominated industries, low-wage jobs, lack of workplace flexibility, high rates of part-time work for women, women greater time out of the workforce because of caring responsibilities that impact employment opportunities, women disproportionate share of unpaid caring and domestic work

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Why is there a gender pay gap?

The gender pay gap exists because previously there were no laws/regulations that mandated equal pay. However, in Australia, this has been a legal requirement since 1969.

Women's work were and is undervalued.

Additionally gender roles and expectations have changed overtime. Previously the majority of women roles consisted of child care bearing/caring responsibilities. Thus, women tended to work less and opportunities were limited.

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There is a significant pay gap between men and women with women notably earning less.

Statistics:

WGEA data shows that the gender pay gap is 2.5% for employees under 24 years old, and it increases at a constant rate before peaking at over 30%, an earnings difference of over $40,000 per year, for employees ages 45-64.

From the WGEA (Workplace Gender Equality Agency, Aus. Gov.)

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What is the estimated wage gap for Australia?

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Source: ABS, Characteristics of Employment, Aug 2019.

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Young workers are workers who are younger than 21

Minimum wage for young workers are calculated as a percentage of the national minimum wage.

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A younger individual with little experience has lower pay compared to someone who is older and has more experience than them

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The minimum wage depends on the age of the employee

Minimum wages for award/agreement free workers aged under 21 are worked out as a percentage of the national minimum. If you are:

Under 16, you should get 36.8%, or $8.55 an hour.

Aged 16, you should get 47.3%, or $10.98 an hour.

Aged 17, you should get 57.8%, or $13.42 an hour.

Aged 18, you should get 68.3%, or $15.87 an hour.

Aged 19, you should get 82.5%, or $19.16 an hour.

Aged 20, you should get 97.7%,or $22.70 an hour.

For example, younger employees get paid the minimum wage in McDonalds. Thus, Mcdonalds would rather hire younger employers (under 16) since it is cheaper ($8.55 an hour)if the productivity is the same.

The average wage increases with the age of the employees:

20 years and under: $949.90 per week ($49,394.80 annually)

21-34 years old: $1,679.70 per week ($87,344.40 annually) 35-44 years old: $2,167.50 per week ($112,710 annually)

45-54 years old: $2,234.80 per week ($116,209.60 annually)

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factors

factors such as working conditions, clientele, and training requirements within different occupational groups allowing for differences in wage.

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Higher skilled job = higher income

Skills are less-common, in higher demand, harder to attain (uni, more study, etc)

E.g. Industries: health (surgeons, doctors, etc.), legal, professionals

Lower skilled job = lower income

Skills are more common, in less demand, easy to attain

E.g. fishing/agriculture, maintenance/repair, janitorial

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The minimal wage increases as age increases, the older you are the more you earn

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Women from culturally diverse backgrounds also get paid less. The ethnic gender pay gap is double the national average gender pay gap, hovering around 33-36 per cent compared to 14 per cent.

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Source: Workplace Gender Equality Agency

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Wages will differ markedly for workers in the same occupation, reflecting the various degrees of experience.

More experienced workers are generally considered to be more valuable and quite often paid more.

Workers with higher qualifications are generally paid more.

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Average Salary in Australia Per Month in 2024

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 Large cities with culturally diverse population are usually likely to be the centres of rapid economic growth and employment.

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 Large cities with culturally diverse population are usually likely to be the centres of rapid economic growth and employment.

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 Large cities with culturally diverse population are usually likely to be the centres of rapid economic growth and employment.

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Median personal income for migrants, by State and Territory, 2019-20

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The median annual personal income of migrants was $45,351 in 2019-20 compared to $52,338 for the population as a whole. This shows how cultural background can lead to migrants earning less than the overall population.

Australian Capital Territory (ACT), earns the Highest Median Total Income of $71,093. Compared to the Highest Median Total Income of Migrants in ACT of $45,351. Therefore, it is evident that migrants earn less than the overal population.

There are many factors in which Cultural Background affects Wage Outcomes such as:

1. Perceptions and Sterotypes: can influence how individuals are perceived in the workforce. Stereotypes can be related to ethniticty, nationality or language proficiency which affect hiring decisions, promotions and salary negotiations.

2. Language: Language barriers may cause individuals to be denied access to certain work opportunities, leading to lower wages.

3. Social networks: Individuals with strong cultural networks may have an advantage in accessing job opportunities and negotiating salaries.

4. Workplace Culture and Adaptation: Cultural adaptation may affect job performance and satisfaction. Challenges that may occur in cultural adjustment may be e.g. communicaiton norms, teamwork styles; these may impact the productivity, and thus wages that the individual is able to earn.

5. Bias and discrimination: unconscious biases can lead to discriminatory practices, where employers may unknowingly favour certain cultural backgrounds over others. Discrimination can manifest in pay disparities, unequal access to promotions, and limited career growth.

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Large cities with culturally diverse populations are usually likely to be the centres of rapid economic growth and employment.

Previous cross-sectional studies suggest that cultural diversity increases employment and wages at the regional level, thereby leading to economic growth.

Culturally diverse women are paid less

they spend 8 years longer in middle management roles

ethnic gender pay gap (36%) is double the national average gender pay gap (14%).

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The gender pay gap gets wider with age
For example, the WGEA found that in the 24 years and under age group, women earned 2.5% less on average than their male peers increasing to 31.9% for employees in the 55-64 age bracket and remaining high at 25.3% for employees aged 65 years or older.

Some studies find that if workers grow older there is an increasing gap between productivity and wages, i.e. wages increase with age while productivity does not or does not increase at the same pace. However, other studies find no evidence of such an age-related pay-productivity gap.

Senior citizens get pensions when they retire