Publishing a gender pay gap figure is only the first step. The real test is whether employers can explain what the number means, what is driving it, and what they are doing next.
More than half of Australian employers reduced their gender pay gap last year. However, only 35% of women feel their employer is actively working to close the gap, which is a fall of 21 percentage points in a single year. That gap in perception matters: even when employers are doing the work, employees may not see it unless it is explained clearly and consistently
This likely makes frustrating reading for those working hard with their team to make genuine improvements to their company’s gender equity. But know that it’s a common issue: teams are working hard, closing gaps, publishing the data — but falling short on one important step: bringing the whole organisation on the journey.
Why talking to your team about your pay gap matters
I know this can feel like another thing on an already long list, but it’s a crucial one.
Communication is not separate from the work — it is part of the work. If employees do not understand the drivers of the gap or the actions being taken, they are less likely to support progress
With gender pay gap reporting mandatory for Australian employers with 100 or more employees in Australia, and WGEA target-setting now required for those with 500 or more, the work is already happening. That’s a significant investment of time, resource, and organisational energy. Communicating it well is how you make that investment count — and how you stay ahead of the employers who aren’t.
There are three reasons this matters more than most employers realise.
1. First, people cannot support work they do not understand. If employees do not know what is driving the gap, why it matters, or how the actions will help, they cannot meaningfully contribute.
— and may inadvertently stall progress. This is particularly true for those who aren’t sure how gender equity efforts benefit them personally. Because as the evidence consistently shows, they do.
2. Second, this is exactly what women want to see — and not showing it is a missed opportunity. Our What Women Want research found that 84% of women say transparency around gender pay gaps and DEI progress is important when choosing where to work, and 91% want to know how pay is determined to ensure fairness. Transparency matters because it helps employees understand not just the number, but the plan behind it. The work is being done. Communication is the gap.
3. Third, the cost of silence shows up in retention. Our own research found that women who feel workplaces are going backwards are almost 2x more likely to be actively job hunting right now. That’s a direct retention risk hiding inside a communication gap.
You’re doing the work. If your employees can’t see it, you’re leaving the most important return on that investment on the table.
Should we even be communicating a poor result?
Yes. Always. Especially when the result shows there is still work to do.
Many of the employers we work with are in industries with deeply entrenched challenges — which means pay gap progress is often slow, non-linear, and genuinely hard-won. That does not mean the work is failing; it means the work is difficult and needs consistent commitment
And yet the results we see consistently show what’s possible when employers stay committed and communicate that commitment clearly. Last year, 86% of WORK180 Endorsed Employers retained or increased their overall proportion of women employees, and 81% maintained or increased women in management.
Our What Women Want research also found that 55% of women would still apply to a workplace with a poor pay gap if the employer demonstrates a genuine commitment to closing it. What puts women off isn’t a difficult number. It’s the absence of a plan.
A gap with a clear explanation and a credible action plan builds more trust than a smaller gap with no communication at all. Women know closing a pay gap takes time. What they’re looking for is whether you’re serious about doing it.
How to communicate your pay gap in a way that builds trust
Publishing a number without context doesn’t demonstrate transparency. It raises a question and leaves it unanswered.
Based on my advisory work with employers across Australia, these are the approaches that consistently build trust.
- Be specific about the drivers. A pay gap is almost never one thing. For example, the gap may be shaped by occupational segregation, concentration of women in lower-paid roles, underrepresentation in senior leadership, or bonus allocation differences. Name what’s causing yours — whether that’s a concentration of women in lower pay bands, a bonus allocation gap, or underrepresentation in senior roles. Specificity signals that you’ve actually looked, not just reported.
- Give employees a plan they can hold you to. Vague commitments to “continue working toward parity” don’t land. Specific actions with timelines do — for example, auditing bonus allocation by a certain date, or setting a defined target for women in management. If employees can track it, they’ll believe it.
- Brief your managers before the data goes public. If team leaders can’t answer basic questions when employees ask, that silence does damage. Brief managers before the data goes public so they can answer basic questions clearly and consistently. Give them talking points, a short FAQ, and guidance on what the result means.
- Come back to it. The employers building the most trust are the ones who follow up six to twelve months later, even when nothing dramatic has changed. Coming back unprompted signals that the commitment is ongoing.
Here’s a practical checklist for your next pay gap communication
☐ Plain-language summary prepared, explaining the number, its drivers, and what will change
☐ Equal pay versus gender pay gap explained
☐ Managers briefed before data goes public, with consistent talking points
☐ Specific actions named, with owners and timelines assigned
☐ A date set to follow up (at six or twelve months)
☐ Communication shared through multiple channels (not just an intranet post)
☐ Tone checked: Honest and direct, not defensive or corporate
Still working on understanding what’s driving your pay gap in the first place?
Our free guide Understanding and Addressing Your Gender Pay Gap is a practical starting point. And if you’d like to see how we’re helping teams make real progress on their gender equity practices, visit our for employers area of the website.
