Axing the pay equity taskforce has impact on many workers - Kerry Davies

The Minister of Finance Nicola Willis announced the axing of the pay equity taskforce. Photo / Marty Melville

OPINION

On Thursday last week, Public Service Minister Nicola Willis issued a press release headed ‘Government commits to pay equity’ but it contained cuts instead of a commitment, axing the pay equity taskforce, a small group of highly skilled public service workers who support the pay equity process.

In Aotearoa, women are paid on average 8.6 per cent less than men. When you drill down by ethnicity the gap is bigger. The taskforce is working – the Māori pay gap in the public service has dropped from 11.2 per cent to 5.4 per cent.

To understand why the taskforce’s work is so important we need to look at women whose work has been devalued – a dietitian employed by Te Whatu Ora, a social worker working for her iwi, and a care and support worker who helps people in their homes.

The essential work of these professionals has been devalued because it is mostly done by women. All three of these jobs have been part of a pay-equity claim, which is a complex and multi-step process.

They describe their daily work through intensive interviews, then that work is objectively evaluated and compared with work traditionally done by men. Each step of this work requires negotiation between employers and unions and both sides need access to the expertise of the taskforce for the heavy load of technical work involved.

In 2023 the dietitian working for Te Whatu Ora secured pay equity, as well as 18,000 other workers, after a process that took almost five years. The average pay rise achieved was 20 per cent and the support of the taskforce ensured that the Government had the expertise needed to rely on the outcome.

For the social worker and the care and support worker, the situation was more complicated. Neither are directly employed by the Government, but their employers are funded by the Government. What happens if employers and workers agree that the work is undervalued, but the funder won’t pay any more?

For the social worker, the taskforce helped solve this problem and her claim was settled in 2022 with pay rises averaging 36 per cent - life-changing money for these workers. There were happy tears, joy, and much celebration. But the care and support worker doesn’t get to celebrate as her claim hasn’t been settled yet – even though the workers and employers have agreed that she’s underpaid.

The Government is cutting the support that makes pay equity settlements possible and it is the lowest paid women, in professions with more Māori and Pasifika workers, who are left waiting.

New National governments have a sad habit of attacking women’s access to pay equity. In 1990, Jim Bolger’s Government repealed the Employment Equity Act. In 2009, John Key’s Government disbanded the pay equity unit of the Department of Labour and the tripartite pay and employment equity taskforce – all were playing a part in advancing pay equity. Now Christopher Luxon’s Government is yet again failing women by disbanding the pay equity taskforce.

Expertise is needed to settle pay equity claims – disbanding the taskforce won’t change that. It will slow down claims, keeping money out of workers’ pockets, and pay equity expertise will be provided by less experienced (yet more expensive) contractors.

The Government failed to provide any analysis that the taskforce was not working or consult any parties – unions or employers. Yet it promised evidence-policy. This decision has happened in the absence of that.

Its work is also not done as the Government maintained by describing the process as “matured”.

There are many claims still in the pipeline which need the support of the taskforce.

The care and support worker will keep visiting people’s homes and taking care of people so they can stay in their own home.

She gives out medication, changes colostomy bags and catheters, gives emotional support, and so much more.

Settling her claim will take longer and her work will continue to be undervalued. She’ll continue to be paid the minimum wage until the Government genuinely commits to pay equity and funds both the process and the claim.