Brooke Roberts, Sharesies co-CEO and founder. Photo / Supplied
Brooke Roberts, Sharesies co-CEO and founder. Photo / Supplied
OPINION:
Women, on average, still earn less than their male counterparts for doing the same work, and are often forced to confront the glass ceiling when trying to advance their careers.
And that doesn’t even account for the various aspects of our identity like gender, ethnicity and sexual orientation thatinfluence this gap. But in other areas of our lives, it’s harder to notice this systemic issue.
Maybe because it’s an awkward subject to bring up at the dinner table, or it’s conveniently swept under the rug as a non-issue. Or it’s tucked away in private somewhere, just like our KiwiSaver investments.
That was how I felt when I went on parental leave twice. When I came back and compared my KiwiSaver balance to my husband’s, I was shocked to see the difference — despite us working in the same role and earning the same amount. It didn’t sit quite right.
And I can imagine for the majority of women, they’re experiencing an even more exaggerated gap with pay inequity too. Research shows that although women on average live longer than men, we have on average 20 per cent less in our KiwiSaver accounts than men, and this increases to 30 per cent for women aged over 50.
The gender pay gap is a reality for many.
The reality behind this is that taking time out of the workforce doesn’t only impact career progression. When women take time off to care for tamariki, elderly relatives, or for any other reason, it often translates into little to no contributions to their KiwiSaver for months or even years.
That’s why I can’t help feel a surge of optimism with our recent Budget announcement.
The Government’s plan to contribute 3 per cent to KiwiSaver for those on paid parental leave is a welcome step towards addressing the wealth gap between genders.
With this, women or those on parental leave, will have a bit more when it comes to retirement, their first house or emergency use — helping improve our quality of life and providing an extra boost of security for our financial futures.
Where to from here?
The Government’s contribution is undoubtedly a move in the right direction.
But there’s much more work to be done in closing the gender gap. It’s a team effort involving legislative changes, better financial systems, and improved education on money matters — a solution that needs to come from all fronts.
Empowering women with the knowledge and confidence to manage their finances effectively is one way from the ground up. At Sharesies, we voluntarily report with Mind The Gap — holding us accountable and committed to closing the bridge between the pay disparities.
We see this as incredibly important, particularly in our own financial industry which shockingly has a 25 per cent gender pay gap. The issue isn’t just about ensuring women are recognised on par with our male counterparts, but lower pay also leads to lower average KiwiSaver contributions over time, and reduces the compounding effect of interest.
Not to mention, we need to drive change at an education level. Financial literacy and empowering our wāhine with their finances is something close to my heart. More women in Aotearoa are investing for home ownership or retirement with KiwiSaver than men, however we show lower confidence when it comes to managing our money – even though we are really good at it!
Moreover, it’s not just about money — it’s about representation. It’s hard to grow to be what you cannot see. With only 8 per cent of NZX-listed companies having female CEOs, we need a fundamental shift towards more balanced leadership.
This can lead to outcomes that provide equity in the workplace, such as pay reporting, flexible working policies, and breaking traditional management styles to accommodate individual needs. There’s no quick fix to such a deep-rooted issue, but we are seeing progress. Many agencies, organisations, and individuals are working hard to promote financial equity and closing the gap in Aotearoa.
So let’s join forces and make sure everyone has a fair shot at a bright financial future!
- Brooke Roberts is co-CEO and founder of online trading platform Sharesies
