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Gender discrimination driving pay gap between Australian men and women, report finds - ABC News

Rising gender discrimination is now the single biggest factor in driving a pay wedge between men and women, according to a report out today.

Key points:

  • The report says gender discrimination now accounts for 39pc of the gender pay gap
  • It suggests the number of women in leadership positions could be boosted by targets or quotas
  • DCA boss says Australians must challenge the idea that caring, housework falls to women

Research by the advisory firm KPMG has found that "stubborn gender stereotypes" continue to harm the careers of women especially those who opt to care for children and elderly family members.

The study, conducted for the Diversity Council of Australia (DCA) and the Workplace Gender Equality Agency (WGEA), said the gender pay gap is the equivalent of $445 million a week or $23 billion a year.

With gender discrimination up 10 per cent since the last survey, the report suggested targets or quotas could be required to boost the number of women in leadership positions.

KPMG Australia chairman Alison Kitchen told the ABC's AM program that gender discrimination now accounts for 39 per cent of the gender pay gap.

"This report identifies the key drivers of Australia's gender gap — gender discrimination, occupational segregation and years not working due to interruptions such as child care and caring for elderly family members," Ms Kitchen said.

"Solving the problem of Australia's gender pay gap is not only fair and sensible but an economically responsible endeavour."

The report found that halving the gender pay gap and entrenched discrimination against women would increase economic growth by $60 billion by 2038.

Hearts and minds of Australians must change

Diversity Council of Australian chief executive Lisa Annese said despite work to narrow the gender gap, structural inequalities and gender-norms were diminishing equality across the economy.

"We need to challenge ideas that the vast majority of caring responsibilities and housework should fall to women," Ms Annese said.

WGEA director Libby Lyons warned against relying on employers to change their attitudes towards women.

"We must also change the outlook, the hearts and minds of all Australians in order to change the very ingrained gender stereotypes that underpin the gender pay gap," Ms Lyons said.

Solutions outlined in the report included:

  • Addressing discrimination in hiring, promotion and training
  • Increased pay transparency and reporting on gender pay gaps
  • Increasing the availability of childcare; and reducing disincentives through personal tax, family payment and child support systems
  • Increasing the share of women in leadership positions through targets, quotas and diversity policies

In addition to gender discrimination, the report cited the combined impact of years not working with part-time employment and unpaid work contributes 39 per cent to the gender gap.

The report's methodology was based on data from the 2017 Household Income and Labour Dynamics in Australia survey and found that hours of household work and unpaid care was a significant driver of the gender pay gap.

Follow Peter Ryan on Twitter @peter_r_ryan.

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