Observation (CEACR) - adopted 2019, published 109th ILC session (2021)

Equal Remuneration Convention, 1951 (No. 100) - Australia (Ratification: 1974)

The Committee notes the observations of the Australian Council of Trade Unions (ACTU), received on 10 October 2018.

Articles 1 and 2 of the Convention. Legislative developments. The Committee previously welcomed the adoption of the Workplace Gender Equality Act of 2012 (the Act), under which all non-public sector employers with more than 100 employees must report annually to the Workplace Gender Equality Agency (WGEA) against a set of gender equality indicators, including equal remuneration between women and men. It noted that, following the amendments made in 2015 to the Workplace Gender Equality (Matters in relation to Gender Equality Indicators) Instrument 2013 (No. 1), with the aim of streamlining workplace gender equality reporting requirements in response to the difficulties encountered by businesses in complying with the former requirements (employers were no longer required to report on several elements concerning remuneration), a working group of stakeholders had been established to identify ways of improving data collection. The Committee requested the Government to provide information on the composition of the working group, the outcome of its discussions and any follow-up action taken. The Committee notes the Government’s statement, in its report, that the non-manager working group was tasked with ensuring that reporting on standardized occupational categories and remuneration met the intended purpose of identifying disparities at the workplace level, so that the data is useful for benchmarking and for employers to improve gender equality in the workplace, which is consistent with the Act’s objectives and the principle of the Convention. The working group identified Standard Business Reporting (SBR) as the best option to meet the dual aims of reducing the reporting burden on employers while improving data quality. The Workers’ group recommended that an SBR pilot be developed and tested by the WGEA to investigate how an SBR-like solution could work for reporting under the Act. The Government adds that the options tested were not viable at that time. Referring to the amendments made in 2015 to the Workplace Gender Equality (Matters in relation to Gender Equality Indicators) Instrument 2013 (No. 1), the Government indicates that the amendments reflected extensive consultation, following the Workplace Gender Equality Reporting Regulation Impact Statement (2015), which assessed the burden of reporting as quite high, to the extent that it was affecting data quality. The Government states that the 2013 Instrument requires reporting on additional data including appointments, promotions and resignations, as well as the proportion of employees ceasing employment before returning to work from parental leave. Furthermore, data continue to be collected on flexible working arrangements, as well as gender-specific access to parental leave and support for caring. The Committee notes the Government’s indication that the WGEA 2016–17 dataset indicates that there has been a 10.8 percentage points rise in the proportion of employers analysing their remuneration data for gender pay gaps, and that the proportion of organizations with specific pay equity objectives in their remuneration policy and/or strategy has doubled over the last three reporting periods. In 2017, in accordance with the Workplace Gender Equality Act 2012, the WGEA reported on progress achieved in relation to the gender equality indicators in its 2014–16 Progress Report to the Minister. The Report indicated that compliance with the Act remains strong at about 99 per cent. The Report also noted that the value of the data is becoming widely recognized by employers and the research community. The Committee however notes the ACTU’s reiterated concerns regarding the reporting process implemented under the WGEA and its indication that it is neither rigorous nor detailed enough, as companies do not have to disclose actual pay data, but merely to tick a box advising whether or not they have an equal remuneration policy in place. The ACTU adds that companies, including those with fewer than 100 employees, should be required to provide detailed information on wages to enable a proper assessment of the causes, effects and drivers of the gender pay gap. The Committee asks the Government to provide information on the steps taken to evaluate, in collaboration with workers’ and employers’ organizations, the amendments made to the Workplace Gender Equality (Matters in relation to Gender Equality Indicators) Instrument 2013 (No. 1) in light of the objectives of the Workplace Gender Equality Act, 2012 and the principle of the Convention. It asks the Government to provide information on any measures taken or envisaged to improve data collection on remuneration from companies, including those that employ fewer than 100 employees, and ensure the effectiveness of the reporting process implemented under the Workplace Gender Equality Act of 2012, including as a result of the recommendations made by the multi-stakeholders working group.

With regard to Queensland, the Committee welcomes the adoption of the Industrial Relations Act 2016 (IR Act), which entered into force on 1 March 2017 and covers only public sector workers and those who work for municipal councils in Queensland, as well as of the Industrial Relations Regulations 2018, which entered into force on 1 March 2018. It notes more particularly that the Queensland Industrial Relations Commission shall ensure equal remuneration for work of equal or comparable value, including by establishing and maintaining a system of non discriminatory awards; supervising the bargaining of agreements and certifying those agreements; and making equal remuneration orders to ensure that employees covered by the order receive equal remuneration when the Commission is not satisfied that an award or agreement provides equal remuneration (sections 4(j), 141(2)(d), 143(1)(c), 201, 245–259, and 447(1) of the IR Act). The Committee asks the Government to provide information on the practical implementation of the Industrial Relations Act 2016 and the Industrial Relations Regulations 2018, including on the measures taken by the Queensland Industrial Relations Commission to ensure equal remuneration for work of equal value in awards, agreements and through equal remuneration orders in accordance with the obligations imposed by the Convention. It asks the Government to provide information on any difficulties encountered in the implementation of the Act and the Regulations, as well as the measures taken or envisaged to overcome them.

With regard to Victoria, the Committee notes that a Gender Equality Bill 2018, containing new obligations for the Victorian public sector to plan and report on gender equality, has been released for public consultation. The Committee asks the Government to provide information on any progress made towards the adoption of the Gender Equality Bill 2018 and to provide a copy once adopted.

With regard to Western Australia, the Committee notes that, in September 2017, the Ministerial Review of the State Industrial Relations System (the Review) was established in order to, inter alia, consider including an equal remuneration provision in the Industrial Relations Act 1979 (the IR Act), which applies to State public sector workers, municipal council workers and other workers in Western Australia not covered by the Fair Work Act, 2009. It notes that, on July 2018, the Review released its final report in which it recommended amending the IR Act to: (i) include an equal remuneration provision based on the model of the Queensland Industrial Relations Act 2016; and (ii) require the Western Australian Industrial Relations Commission (WAIRC), established under the IR Act, to develop an equal remuneration principle to assist parties in bringing applications pursuant to the equal remuneration provisions. The Committee notes that the final report was tabled in the state Parliament on 11 April 2019. The Committee asks the Government to provide information on any progress made towards the inclusion of an equal remuneration provision in Western Australian legislation, in particular by amending the Industrial Relations Act 1979, as well as the development of an equal remuneration principle by the Western Australian Industrial Relations Commission.

The Committee is raising other matters in a request addressed directly to the Government.