Australia links gender equality targets to government contracts

Big businesses across Australia that want to win government contracts will soon need to meet various gender equality targets in their workplaces, according to Minister for Women Katy Gallagher.

Gallagher said last week that this is part of the government's latest measures to improve gender equality outcomes for organisations.

"We'll use the Workplace Gender Equality reporting framework to make it a rule that, in order to win government work, businesses with 500 or more employees must commit to targets to improve gender equality in their workplaces," the minister said.

"Not only will businesses have to set targets, but they will also have to show progress towards them."

According to the minister, the targets will focus on:

• Gender makeup of their boards and the workforce
• Equal pay
• Flexible working arrangements
• Workplace consultation on gender equality
• Efforts to prevent and address sexual harassment

"WGEA is consulting on those targets now," Gallagher said.

The move will make use of the Australian government's purchasing power to better support gender equality outcomes, according to Gallagher.

"Every year, the government spends $70 billion to procure goods and services and we think there's more that can be done to make sure women are getting a fairer slice of that spending," she said.

Achieving gender equality

Gallagher made the announcement at the launch of the country's first national strategy to achieve gender equality on International Women's Day last week.

"In developing this strategy, it was incredibly important that it wasn't just another bureaucratic document or words on a page," Gallagher said. "Because women in this country don't need another empty promise. They need action and accountability."

The government has initiated various efforts to support women in the workforce, including paying superannuation of top of Paid Parental Leave, as well as publishing the gender pay gaps of private employers for the first time ever.