Discover the $53k Pay Challenge Impacting Australians: The Age When It Strikes Most

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By the time a woman is in her 50s, she is more than $50,000 behind men the same age, according to the Workplace Gender Equality Agency (WGEA).

The new data, from more than 5.1 million working Australians, shows that while men and women roughly earn the same in their teens and early 20s, the gender pay gap hits its stride when a woman is in her 30s. At this age, a woman earns $15,276 less than a man the same age.

The figure peaks between ages 55-59, where the pay gap is $52,992.

WGEA, which publishes annual gender pay gap reports, only started collecting age information alongside pay data last year, meaning these latest figures show for the first time the full extent to which the gender pay gap grows throughout a woman’s career.

A bar chart titled "How the gender pay gap increases with age" shows average total remuneration for men and women across age groups, based on data from Workplace Gender Equality Agency Australia. For each group, men’s earnings (blue bars) are consistently higher than women’s (red bars), and the pay gap widens with age.

The CEO of the Workplace Gender Equality Agency (WGEA), Mary Wooldridge, emphasized the need for proactive measures to ensure women receive equitable opportunities in their careers.

In its report, WGEA highlighted a staggering statistic: when the earnings gap is calculated from ages 15 to 67, women earn on average $1.5 million less than their male counterparts.

A proven path to a higher salary is advancing into management positions. However, by the age of 34, men predominantly occupy these roles, according to the report’s findings.

There are a few ways this happens.

First, as women age, they are more likely to work part-time. The number of women in full-time employment sits at around 50 per cent.

For men, the percentage in full-time employment is anywhere from 60 to 80 per cent, depending on age.

“We urge employers to alter the narrative and pave the way for a fairer future,” Wooldridge stated.

Women who do become managers still earn less, with women managers between 55 and 50 earning an average of $85,662 less than male managers of the same age.

The choice of profession could be another factor. The gender pay gap is smallest for workers under 20, who tend to be working in retail or food services.

After age 20, more women are employed in lower-paid sectors such as healthcare, social services, and education, and these professions stay dominant until retirement.

These sectors have seen recent wage growth, with childcare workers now earning $2800 more on average per year, but not enough to close the gap.

Mary Wooldridge of WGEA also pointed out that bridging the gender pay gap brings advantages to both men and women in the workforce. Source: AAP / Lukas Coch

Wooldridge called on employers to take early action.

“We’re asking employers to change the story and shape the future,” she said.

A woman in a grey shirt speaking into a microphone with flags behind her.

WGEA CEO Mary Wooldridge says that fixing the gender pay gap benefits both men and women in the workplace. Source: AAP / Lukas Coch

Actions like offering equal parental leave to women and men can help lift the burden of unpaid care work that women experience as they age.

Woolridge also said employers should be open to making more manager roles part-time, or job share. This would require shifting attitudes around part-time workers being perceived as less productive or committed to their jobs.

Ultimately, WGEA said fixing this gap will make workplaces better for both men and women by offering more flexibility and fair access to leave for everyone.