Australia’s gender pay gap continues to shrink, with new data revealing meaningful, though uneven, progress towards fairer and more equitable workplaces.

The Workplace Gender Equality Agency’s (WGEA) 2024–25 Gender Equality Scorecard, released today, shows the national gender pay gap has fallen an above-trend 0.7 percentage points to 21.1%. It means that for every $1 earned by men, women earn an average of 78.9 cents — a gap that amounts to $28,356 over the course of a year.

Every state and territory reduced its gender pay gap, with Western Australia recording the widest (28.8%) and Tasmania the lowest (10.6%).

According to WGEA, the results indicate employers are taking positive action to improve gender equality in their workplaces. The Scorecard also shows moderate improvements in women’s representation in leadership roles and on Boards.

WGEA CEO Mary Wooldridge said narrowing the gender pay gap demonstrates employers are making progress towards meeting employees’ expectations of fair and equitable workplaces.

“Reductions to the pay gap and modest improvements towards gender balance in leadership roles are underpinned by more employers having policies and taking action that can break down gender norms about leadership and caring responsibilities, as well as improving employee safety,” Ms Wooldridge said.

“Employers are shifting the dial towards fairness, which is helping to close the gender pay gap.”

The Scorecard also revealed almost all employers (99.2%) had a policy or strategy to prevent sexual harassment. Of the 68 employers without a policy, 61% indicated one was under development. More CEOs and workplace leaders are now communicating expectations of respectful behaviour to employees and embedding these standards in recruitment and performance processes.

Employers now have a legal obligation to take proactive and meaningful steps to prevent sexual harassment in the workplace.

Despite progress towards fairness and equality, the report identifies that the overall rate of improvement remains slow. Ms Wooldridge said there are clear opportunities for employers to accelerate change by taking comprehensive actions based on data and evidence.

 “WGEA encourages all employers to undertake a comprehensive gender pay gap analysis and as part of that review performance pay structures and access to overtime, to ensure they are fair and accessible for everyone,” Ms Wooldridge said. “This should be an annual process, even if salaries are set by awards or market rates.”