New Zealand Needs To Get Pay Gaps 'Sorted'

New Zealand needs to get ‘sorted’ on their pay gap reporting according to the MindTheGap campaign.

Campaign founders are applauding Te Ara Ahunga Ora Retirement Commission’s Sorted Money Week this week which focuses on asking questions about money.

MindTheGap co-founders Dellwyn Stuart and Jo Cribb say New Zealanders need to talk more about money and that includes the pay gap which has stayed at just under 10 percent for over ten years.

“It’s great that the Retirement Commission is encouraging everyone to ask questions about money – we’re encouraging employees to #Just Ask their employers the size of their organisation’s pay gap.

Sorted Money Week gives the public the chance to get the information and tools that you need to make good financial decisions.

But Jo Cribb says no matter how sorted some workers are, they are going to get less unless the government makes pay gap reporting for medium and larger businesses compulsory.

Employees can manage their money well, but if they are being paid as much as 27 percent less than others, which is the pay gap between Pakeha men and Pasifika women, then they will be a third less prepared for retirement.

‘It’s bad enough earning a third less than other workers all your life, but the additional burden of less in retirement is unfair – it’s not the way we should be treating people in New Zealand.

“We know from overseas examples that if businesses measure their pay gaps, then they will naturally be curious to find out what’s causing the gaps and want to do something about it.”

“And we know from research, that up to 80 percent of those gaps are caused by conscious or unconscious bias.”

“While we have an increasing number of businesses registering their pay gaps, there are still thousands who haven’t made the commitment, but legislation will ensure they will address this.”

Pay gap reporting was made compulsory in the public service in New Zealand several years ago and, as a result, the gap has shrunk.

Sorted Money Week is an annual awareness campaign which has been shining the spotlight on all thing’s money for the last decade.

MindTheGap is asking the Government to make pay gap reporting for businesses with over 50 staff compulsory.

It has launched a petition for New Zealanders to support this.

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