SA plunges to 117th position for wage equality
The World Economic Forum placed South Africa at 19th for gender equality, but the country performed poorly with its wage equality.
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THE 2018 World Economic Forum (WEF) Global Gender Report has ranked South Africa’s gender equality 19th of 149 countries, but has dropped the country’s rank for wage equality to 117th.
“South Africa’s labour market has changed little in the past decade – remaining more favourable to men, who are more likely to be in paid employment than women, regardless of race. Addressing the pay gap between men and women is an important step towards income justice for South African women,” said Anita Bosch, the associate professor in organisational behaviour and leadership at the University of Stellenbosch Business School (USB).
Prof. Bosch said South African women graduated at the same rate, or better than, men in higher-paid fields. In her latest research on the gender pay gap in South Africa, she said,
“Directors and shareholders have rights and responsibilities that can be used to positively influence organisations to take a stand against pay discrimination. Pay equality can be seen as a compliance issue, or it could be regarded as a focus on fairness and the basic right to equality, which is enshrined in the Bill of Rights of the South African Constitution.”
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While application of the King Codes is voluntary, the Johannesburg Stock Exchange (JSE) Listing Requirements make some provisions mandatory, including the tabling of the remuneration policy and implementation report for a shareholder vote at the annual general meeting.
“Both the Act and the King IV Codes imply that companies do gender pay audits as a basis for adjusting remuneration policies, and they must have an implementation plan for making the necessary changes.”
Prof. Bosch also encouraged non-executive directors to scrutinise company policies such as childcare, maternity and parental leave, recruitment and selection, performance management and reward schemes, and educational support for employees, to ensure that these support the family obligations of both men and women, and do not create bias against women due to maternity and childcare.
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