The Next Steps to Pay Transparency
Snapshot
- The Workplace Gender Equality Act 2012 (Cth) (WGEA) has elevated gender pay gap transparency to a priority for CHROs and CEOs around Australia.
- This guide explores how pay transparency can support diversity, equity and inclusion (DEI) maturity and spotlight an organisation that has successfully aligned its DEI, environmental, social and governance (ESG) and commercial strategy, whilst achieving sustainable gender equality performance targets.
- This client case study not only showcases the potential for achieving high-performance targets but also illustrates the commercial and strategic advantages of a holistic approach to pay transparency and gender equity.
Advancing Beyond Compliance to Deliver Better Outcomes
With the publication of gender pay gaps now a reality, organisations are poised at a critical juncture. There is an opportunity for pay equity to act as a catalyst to positive organisational change, driving both strategic and commercial benefits.
By moving from a reactive, compliance driven approach to a proactive and strategic approach, organisational leaders have an opportunity to build on investments made in complying with pay secrecy reforms to embed pay equity and transparency into the fabric of decisions made at every level of an organisation.
A raw pay gap percentage can be a helpful starting point for understanding the magnitude of an overall pay gap but it can also be limited. Many organisations lack in-house resources or expertise to interpret raw pay gap data and independent verification of data is critical to ensure credibility of the analysis. Aon’s pay equity regression model takes steps to provide an ‘apples for apples’ comparison across multiple factors to test whether like for like gaps can be explained by legitimate differentiators or more problematic ones that may stem from gender bias.
The AirTrunk Story
Diversity, equity and inclusion are considered across every aspect of AirTrunk’s people strategy. AirTrunk incorporated two gender related key performance indicators (KPIs): gender diversity and gender pay equity.
Recognising the substantial people and business benefits of DEI, AirTrunk worked with Aon to move beyond mandatory reporting to gain insights into their data – to supplement a raw gender pay gap by overlaying the many factors that contribute to gender pay equity using Aon methodology.
Setting multiple industry benchmarks, AirTrunk’s SLL was the first by a data centre operator to incorporate a gender pay equity target, reflecting the company’s commitment to DEI.
– Annette Hang, Partner, Talent Solutions, Aon
Download the case study to discover how Aon supported AirTrunk on their pay transparency journey.
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