Gender pay gap, unpaid work and the cost of being a woman.

The triple threat to women’s economic productivity in Australia

Highlights:

• Women lose $28,425 yearly due to gender pay gap. 

• Women CEOs get paid up to $158,632 less than their male counterparts every year.

• Yet, a woman is expected to spend $10,000 for period products throughout her lifetime, allocate more of her budget on healthcare for contraception and pregnancy, but also spend more as chronic conditions that become prevalent with age.

• Gender assigned roles cut back women’s ability to participate in full-time paid work by an average of just 31.9 hours a week (vs. 38.4 hours in men).

• Women retire earlier, and live longer (85.1 years vs. 81.1 years in men), with 73% to 80% less in savings and superannuation, respectively.

• 1 in 3 women totally depend on their partner’s income after retiring.

Australian women have been protected by laws that guarantee equal work for equal pay since 1972, and yet continue to face systemic financial disadvantages that stretch far beyond their paychecks.

Gender inequalities from the workplace to the home impact women’s economic standing from their first paycheck and typical everyday spending for simply being a woman, all the way to retirement.

Even though women now own a third of small businesses in Australia, and that the number of businesses founded by women have increased by a trailblazing 24%, access to capital funding and favorable loan terms continue to be limited.

The income divide

Improvements may have been steadily won in the past few years, but the gender pay gap persists, stubbornly undermining the Aussie women’s potential to:

• Add $128 billion per year to the economy

• Inject $353 billion more to the GDP

• Create up to 1 million new jobs by 2050

If the total remuneration, that is, the sum of base pay and other benefits, received by women is compared to men, the pay gap is at 21.8% That means, a woman earns just $0.78 for every $1 a man gets. The yearly pay difference adds up to $28,425.

When only base pay is compared, the yearly pay difference equals $17,221. In which case, women will have to work 52 more days to get equal base pay as men.

Women’s paid vs. unpaid work

Given additional responsibilities doing unpaid work, including at least two hours at home doing chores and taking care of children, women are overstretched and underpaid.

Accounting for 78% of single-parent families being headed by women, this picture can get much worse.

This added burden takes a toll on women’s ability to perform paid work. On the average, women can only perform paid work for up to 31.9 hours weekly (vs. 38.4 hours in men).

Even more dire is how women pay a ‘motherhood penalty’ amounting to 55% of pay cut in the first five years after having children.

Sadly, although 36.9% of women (vs. 29.7% in men) earned their bachelor’s degree, on average, it has only advanced 3 out of 10 women to CEO positions. Career breaks, family responsibilities and carer roles are still impacting women's ability to participate in full-time work. 

Women’s healthcare costs

Just for being born a woman, women are expected to spend $10,000 on period products throughout their lifetime. The prices are expected to double in more remote areas. These figures have significantly been reduced following GST removal from period products in 2018, which has since resulted in an estimated 9.1% price drop.

As a woman reaches her reproductive age, she is expected to incur additional expenses for contraception — birth control pills (approx. $130 per year with PBS, and depends on chosen brand), intrauterine device (approx. $230, including insertion and removal cost), or tubal ligation (approx. $850). It's also worth noting that these costs can vary based on your individual access to Medicare and private health insurance.

If a woman decides to have children, out of pocket delivery costs - with private health insurance, can be up to $500 depending on whether she elects a vaginal or c-section, and, if there are complications, it’s bound to cost more. Even then, costs for prenatal and post-delivery checkups as well as medications and supplements are not yet accounted for.

On average, Aussie women live longer (85.1 years) than men (81.1 years). However, women endure earlier and longer chronic conditions. That could be the main reason why women are more likely to consult with a medical professional.

Sadly, women are also more likely to delay taking medication and further consultation, including with a mental health professional, due to cost.

Women and financial security

With women consistently earning less than men across various industries, this persistent gender inequity accumulates into long-term financial disadvantages impacting women’s capacity to save, invest, and grow wealth over time.

When it comes to women’s financial standing, the math is quite simple:

Lower pay + Higher spending = Less savings

During the period, 2021-22, the average superannuation account balance among women was

$146,146 (vs. $182,667 in men). In 2024, women had $14,486 less in savings compared to men.

In general, women retire at 54.7 years (vs. 59.4 years in men). Some 3 in 10 of female retirees are completely financially dependent on their male partners for even the most basic of necessities they need to survive.

How Red Queen Marketing can help

RQM advocates for women. There are several ways women-led startups can benefit from digital marketing. We’re here to help lady bosses end the vicious cycle of poverty that springs from the triple combination of gender pay gap, unpaid work, and financial costs of being a woman.

Digital marketing is gender neutral and levels the playing field for businesses, whether headed by women or men. If the opportunity this technology brings can be harnessed for women to grow personally and professionally, women can take charge of their careers without having to take their focus away from their loved ones, their homes, and their passion projects.

As we commemorate International Women’s Day, sit and think about what you want and where you’d like to go. Embrace the inherent power of a woman.

Come explore your brand’s future with Team RQM. Let’s talk.