Why You Need A Pay Rise
Fact: The gender pay gap is terrifyingly real, says Dr Kirstin Ferguson, and it is women over 45 who are most impacted by it. If you have been in the workforce for 25 years or so, that wage disparity builds up year by year. It is not just your wages that are affected, either. Lower wages mean less superannuation. We know that, on average, women retire with less than half the super of men. That gender pay gap means more elderly women live in poverty than men. Since what you earn now affects how you will live in the future, it is time to speak up.
Many women are reluctant to speak up about money because they fear the consequences. Is that fear justified?
KF Sadly, in some organisations the answer is yes. From my own career experiences and from those of my friends, I have realised that speaking up about sexual harassment, work conditions, remuneration or lack of promotion opportunities can create a backlash for women and minorities. However, that is changing. Organisations now have to report on gender pay gaps and a business that fails to address pay gap issues as soon as they arise, faces significant reputational damage.
What’s the first step to negotiating a fairer rate of pay?
KF Speak up. Raise your concerns with your direct supervisor or HR manager. It can be difficult if you suspect you are not being paid as well as your male colleagues but don’t know for sure, so it helps to do your homework. Find out what you can about industry averages and benchmarks for your role, and if your salary feels fair. You can also look at advertised jobs to get a sense of what similar roles are being paid. No two roles are exactly the same, though, so the most important thing is to be feel confident about what you are worth and be able to articulate that. Remember, there are plenty of men doing exactly the same thing without any of the same fears.
Will that really work?
KF The chances of success are high if you work for an organisation that recognises people as its most important asset and that doesn’t want to discriminate on the basis of gender. In organisations where these issues are not a priority, where there is no fundamental understanding of why paying women equally is essential, your chances of success may be much lower.
What should I do if my boss says no?
KF If your request is turned down, ask for clear reasons why and also ask what you need to do in order to achieve a pay rise. If your claim isn’t taken seriously at all, I would think about whether this is an organisation you really want to work for. Discussions about remuneration should always be taken seriously; you may not get the answer you want, but the process should always be respectful and informative. If you have a number of female colleagues who also feel they are being paid less than their male counterparts, remember there is power in numbers. If you raise the issue together, you may get a different response. It may be that your expectations regarding pay are not realistic, but in my experience that rarely applies to women, since we are traditionally more reluctant to ask for pay increases or negotiate higher salaries.
Is there a business argument for equal pay?
KF It makes sense for a business to employ the best people they can, to work together for the success of a company but it makes no sense to pay those people differing amounts simply because of their gender. It is a moral imperative for businesses to treat their employees equitably. That means making sure that every systemic issue that fosters a gender pay gap has been fixed and every cultural issue that compounds the problem is addressed.
What about if you are a manager? Should you be concerned about this issue?
KF If you are a leader in any business, at any level, and you become aware of a gender pay gap, it is your responsibility to do everything you can to plug that gap. Don’t wait to be asked by someone to take a look; initiate a gender pay gap analysis yourself so you can right the wrong as soon as possible. If you don’t, you may find women who are working for you right now are already looking around to join an organisation that values them appropriately.
Dr Kirstin Ferguson is an author, leadership expert, and deputy chair of the Australian Broadcasting Corporation. See kirstinferguson.com
Email questions to hello@tonicmag.com.au
The information provided is general information and not personal advice. Tonic is not a financial adviser. You should consider seeking independent legal, financial, taxation or other advice to check how the information we publish relates to your unique circumstances. Tonic is not liable for any loss caused, whether by negligence or otherwise, arising from the use of, or reliance on, the information provided directly or indirectly, by this website.
Interview_ Marina Go
Photo_ 9 to 5/IMDb