Changes to the current gender equality reporting under the Workplace Gender Equality Act (WGE Act) have passed Federal Parliament. The Workplace Gender Equality Amendment (Closing the Gender Pay Gap) Bill 2023 now will require the WGE Agency (WGEA) to divulge the gender pay gaps of individual companies with 100-plus employees next year, drawing on data already provided by employers.
The change is designed to increase transparency, as currently the WGEA only provides the public with overall figures, not providing a breakdown per individual company. The WGE Act’s explanatory memorandum states that “publishing employer gender pay gaps could also generate stakeholder engagement and pressure and inform investment decisions”.
No changes have been made regarding which companies are required to report under the legislation. Below is a summary of which companies are required to report and when reporting opens up. Please note this summary is for non-public sector employers, for information on public sector reporting please click here.
Who is required to report?
The WGE Act requires ‘relevant employers’ to submit annual reports addressing pre-determined criteria, relating to the employer’s workplace gender equality from 1 April the preceding year, through to 31 March of the reporting year.
A ‘relevant employer’ is a non-public sector employer that:
- has employed in total 100 or more employees for 6 months or more of the reporting period (these months do not need to be consecutive); or
- the employer expects to have 100 or more employees and will stay at or above 100 employees for 6 months or more within a reporting period.
Relevant employers whose employee total drops below 100 must keep reporting until the total falls below 80 employees for six months (these months do not have to be consecutive) during a given reporting period. If this occurs, employers must advise the Agency by lodging a support request.
The annual reports will be made publicly available, however, they will not include personal information that may identify individuals or employers. Employers have been assured that commercial-in-confidence information will not be published or disclosed as part of this process. Employers may be requested to provide written permission granting the WGEA and/or the Minister the ability to publish remuneration or other confidential and commercially sensitive information.
What are the consequences of non-compliance?
The consequences for non-compliance with the WGE Act’s requirements include:
- the ability for the Minister and/or the Agency to name non-compliant employers in Parliament; and/or
- possible exclusion from Commonwealth and certain State government tenders, or disqualification from accessing Commonwealth grants and other forms of financial assistance.
The WGEA will provide advice and assistance to non-compliant employers to help them try to reach the established minimum standards.
When are employers required to report?
The annual reports must be lodged with the Agency between 1 April and 31 May of the reporting year. Reports cover the preceding 12-month reporting period. The reporting period is the same each year, from 1 April of the previous year to 31 March of the current year. Click here to view the steps for submitting a gender equality report.
Need assistance?
It can be difficult to keep up with changes to employer obligations in the workplace. Failing to do this can lead to issues with non-compliance, and increase the risk for a business. ER Strategies are experts in employment compliance and strive to assist our clients in being aware of all new changes to laws and developing strategies to maximise compliance with employment law.
If you have any questions regarding these reporting requirements, we encourage clients to call ER Strategies on 1300 55 66 37. If you aren’t a client, you can still call that number, or click the button below, to discuss ways we can assist you.
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