Gender at Work Community: We can’t fix what we can’t see

We know that when it comes to pay gaps, ethnicity is where the bigger pain happens. Māori, Pacific people and those from other ethnicities face large gaps and this has consistently been the case since we started measurement in Aotearoa. 

But across the organisations on the Pay Gap Registry that are reporting publicly, only 23% currently do any kind of ethnic pay gap measurements. 

Why is this? As a nation we are not good at acknowledging the racism that exists in Aotearoa – whether it be unconscious bias or baked into our systems. This lack of acknowledgment is a blindspot. We simply aren’t seeing what is happening in front of us. 

So what are pay gaps?

Pay gaps are pay differences for groups of employees, usually based on the median or mean pay that that group gets compared to those who don’t identify as belonging to that group. Groups who are paid less are usually those that are otherwise marginalised.

There are three types of pay gap:

  • Like-for-like gaps: pay gaps between people of different ethnicities undertaking the same work.

  • By-level gaps: pay gaps between people of different ethnicities doing the same or comparable work (comparing responsibilities, typically the same level in the organisational hierarchy).

  • Organisation-wide: the difference between the average remuneration of people of different ethnicities across the whole organisation

The causes of pay gaps are complex and they can develop unintentionally, emerge slowly, and accumulate over time. Factors that contribute include:

  • Unequal patterns of distribution at levels of an organisation

  • Clustering of identity groups in higher-paid occupations and lower-paid occupations

  • Undervaluing work predominantly or exclusively performed by some groups

  • Unequal career progression between identity groups

  • Higher starting pay, discretionary pay, pay increases, or performance ratings among some identity groups

  • Disproportionately slower career or pay progress for employees who take caregiving breaks, or who work part-time or flexibly.

But if we’re not gathering and analysing data then we don’t know what’s going on in yout own organisations. And without that clarity we can’t begin to act.

Start today.

I encourage you to get underway with gathering employee data today. This is the foundation and it can take time to build up enough data (we recommend at least 90%) to draw accurate conclusions about the patterns it will enable you to see. 

Commitment and great communication are vital to success. Your people need to know why you are asking for and recording this information about their identity. They will want you to share what you learn and be committed to solving the problems that become visible.

Communicating high level aspirations can greatly encourage your people to participate. These might include your organisation wanting to have a workforce that reflects the populations of Aotearoa New Zealand, create fair and equitable workplaces, & resolve any pay discrimination.

We have some leading lights in this work in our Gender at Work community, as many of our members were among the first businesses to report their gaps on Mindthegap’s pay gap registry. Additionally, all GenderTick accredited organisations are now required to report their pay gaps.

If you’re curious to find out more, to talk to someone who understands the value of this work – we can connect you. Get in touch and we’ll pair you up with a similar organisation so you can get the most relevant advice. 

Don’t put off getting started. We know most organisations don’t intentionally discriminate. But we also know that when you do the analysis, most find pay gaps.

You can find more information on pay gaps at www.mindthegap.nz. You can also book a free chat with us on https://www.genderatworkcommunity.org.nz/book-a-chat, or email kiaora@genderatwork.org.nz for more information. 

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