The Australian Senate approved a motion to launch an inquiry into gender inequality of the superannuation system. The motion, approved on Monday, was backed by Labor Senator Jenny McAllister, Liberal Senator Sean Edwards and Greens Senator Larissa Waters, spurred by recent ANZ study, which revealed that women are, on average, retiring on half as much as men.
The 2015 ANZ Women’s Report indicated numerous alarming figures regarding gender inequality within the workforce. For instance, despite the fact that 42% of women aged 25-29 hold a university degree, compared to 31% of men, women are still paid, on average, 18.8% less. Women who work full-time, therefore, earn on average $295 per week less than their male counterparts—simply due to gender. In a year, this amounts to a $15,000 difference, and in a lifetime, $700,000.
ANZ CEO Joyce Phillips said globally, women earn up to 36% less than their male counterparts; this report merely confirms the financial disadvantage all women face.
“This research also confirms what’s really restricting the financial future of women is the inherent structural bias in the way the workplace, education, social and legal systems are established,” she said.
Industry Super deputy chief executive Robbie Campo welcomes the review.
“Industry super Australia’s modelling shows that even with super, pension payments and other savings combined, 63% of single women will still not be retiring comfortably by 2055 unless we act now to restructure our retirement income system,” she said.
The Greens Senator Larissa Walters attributes the growing homelessness of older women to this inequality.
“It’s timely for the Senate to examine the structural inequalities which are seeing women retire in poverty.”
“We hope the tri-partisan nature of this inquiry will lead to real outcomes to address the alarming gender retirement income gap.”