PSA Pay Equity Campaign Congress 2014

PSA has set a target of pay equity for women by % by 2020

Pay equity - removing barriers and discrimination around pay for all members Current PSA focus - the gender pay gap PSA Runanga and PSA Pasifika and Deaf & Disabled Networks are identifying, challenging and closing pay gaps affecting their members Double whammy discrimination

gender pay gap in NZ about 13% across the NZ workforce and around 14% in the public service

The gender pay gap exists because women are undervalued in their work and paid less than if they were men Some men are also disadvantaged

the pay gap happens because: jobs mainly done by women are not fully paid for the skills because it is mainly women doing these jobs – this means both men and women doing these jobs are undervalued women tend to be appointed at lower rates on the pay scale when they start a job women don’t move up the pay scale at the same rate as men under discretionary pay systems

Equal Pay Act 1972 Equal Pay Act has given our current pay equity campaign a focus and a surge of enthusiasm – success of Kristine Bartlett’s case in using the 1972 Equal Pay Act. If Terranova case upheld – under the Equal Pay Act:  1000s of workers are currently underpaid because their jobs are done mainly by women  Employment Court can rule on a range of pay equity cases

Female dominated work PSA members in CPS sector (care and support workers) do jobs which are similar to Kristine’s. Specialist job evaluation looked at the female dominated community support worker job and found a male dominated job requiring similar skills and qualifications. The comparator = Corrections Officers (earn + $8 more per hour)

Pay equity rate PSA bargaining Corrections Officers pay scale = the pay equity rate = what our care and support workers are worth = 100%

Living Wage, pay parity or pay equity? Living Wage $18.80 Pay parity about $20 Pay Equity L3 $26.05

Getting to Pay Equity Organising members + community support + employer support + legal case increased government funding better pay and conditions for PSA members

Sleepover and Travel cases Organising members + community support + employer support + legal case increased government funding better pay and conditions for PSA members

yeah…but… I believe I’m worth 100% BUT Can my employer afford to pay it? Can the NZ economy afford pay equity?

The economic case for Pay Equity* Can NZ afford not to pay equitable wages? *Acknowledgements to Prue Hyman and Bill Rosenberg for their help

Cost to the government E.g. $8 extra per hour CPS pay equity claim The government will fund $8 up front but $2 back in tax $1.20 back in gst $2.15 average abatement of government benefits (NZ Treasury paper) That leaves $3.64 actual additional cost to government

It will be an economic stimulant that will repay the taxpayer many times over in:  Increased productivity  Improved services  A drop in rates of child poverty and its ongoing costs to society  Increased consumer spending  Growth in businesses  More jobs Pay equity will not be a cost to the NZ economy

US Institute for Women’s Policy Research 2012 estimated equal pay for women would increase the US GDP by 2.9%

The failure to pay women fairly results in the misallocation of human capital and contributes to women working at less productive pursuits than they otherwise would, thus holding back economic growth Hartmann, Hayes, Clark, US Institute for Women’s Policy Research

Equal pay would reduce poverty by half for families with a working woman Hartmann, Hayes, Clark, US Institute for Women’s Policy Research

Our question for employers and government What should have a higher spending priority than pay equity?

Become a PSA Pay Equity Advocate Pay Equity Advocates are PSA members, male and female, who are the champions of pay equity in big and little ways in their individual workplaces and homes add your voice to PSA members’ fight for equal pay and receive regular updates on the Worth 100% PSA Pay Equity campaign

We are all worth 100% Pay Equity will be a driver for a better brighter NZ Pay Equity is our basic human right