Pay Gap Action Plan

Toitū Te Whenua Pay Gap Action Plan for 2022/23.

Why this is important

Toitū Te Whenua is committed to ensuring we have a diverse and inclusive organisation and that we are an employer of choice. The document Kia Toipoto – Closing Gender, Māori, Pacific and Ethnic Pay Gaps sets out the government’s planned approach to closing gender, Māori, Pacific and Ethnic pay differences in the public sector. It is a foundational document to which we have aligned our own Pay Gaps Action Plan.

Kia Toipoto – Closing Gender, Māori, Pacific and Ethnic Pay Gaps

Kia Toipoto has 6 focus areas which include milestones that agencies are expected to meet. These areas are:

Last year, we published our 2021/22 Gender Pay Gap Action Plan. Our 2022/2023 Pay Gaps Action Plan will build on the progress we made through incorporating specific actions to address the workplace drivers of gender, Māori, Pacific, Asian and other ethnic pay gaps. We have made good progress towards the Kia Toipoto milestones, but there is still work to do. Our 2022/23 Pay Gaps Action Plan will keep us on track to meet our goals.

Our Pay Gaps Action Plan is complemented by the other mahi we do in the diversity, equity and inclusion space. This includes our Papa Pounamu plan which supports us to be an inclusive organisation and helps reduce our pay gaps.

How we collect our data

The data used in this report is at 30 June 2022, unless otherwise specified. Our reporting is based on permanent FTE and does not include contractors.

We calculate pay gaps and representation for ethnicity using multi-ethnic identification data collected through our HR system. For example, someone identifying as Māori and Pasifika would be counted in the pay gap calculation for both groups. The acronym MELAA refers to Middle Eastern/Latin American/African.

Gender and disability are also self-identified through our HR system. We have nonbinary gender options, and staff can enter a range of details relating to disability status. While we don’t have enough data to confidently measure pay gaps for people who do not identify as male or female, the actions in our Pay Gaps Action Plan are designed to build an inclusive culture free from bias for people of all gender identities.

The data tells us that representation continues to be a key driver of our gender and ethnic pay gaps. To understand if our internal systems, processes and practices are contributing to this, we also engaged with a wide range of representatives across our network groups and the PSA. The insights from this engagement have formed the basis of our action plan.

Transparency

Kia Toipoto milestone

  • Agencies and entities publish annual action plans based on gender and ethnicity data and union/employee feedback.
  • Agencies and entities ensure easy access to HR and remuneration policies, including salary bands.

We have progressed this by:

  • having a consistent communications approach for all people projects, policies and guidance, to support accessibility
  • making our salary bands easily accessible on our intranet.

In 2022/23 we will continue to embed this by:

  • continuing to implement broad-based roles to provide better clarity on the types of roles in the organisation and ensure that pay bands are easily accessible by staff
  • developing a remuneration policy and ensuring this is accessible by staff
  • releasing job sizing information/data, with this work undertaken by an external entity.

What success will look like

  • People feel that our remuneration information and policies are accessible and easy to understand.

Equitable pay outcomes

Our gender pay gap has tended to decline year-on-year since 2008, but we saw an increase of 1.2% the 2021/22 financial year (see Table 1). In the past year, skill shortages and high demand drove up pay rates for some specialist skills, particularly in IT. This coincided with the scaling up of the Modernising Landonline programme, so securing new staff and retaining key talent in a male-dominated area undid some of our previous achievements.

Table 1: Gender pay gap across the public sector and Toitū Te Whenua
  Public sector Toitū Te Whenua
June 2008 15.4% 18.3%
June 2009 15.4% 15.6%
June 2010 14.4% 13.7%
June 2011 14.3% 14.1%
June 2012 13.7% 16.4%
June 2013 14.2% 16.6%
June 2014 14.1% 16.1%
June 2015 14.0% 16.3%
June 2016 13.5% 15.2%
June 2017 12.5% 11.9%
June 2018 12.2% 9.5%
June 2019 10.5% 9.8%
June 2020 9.6% 9.6%
June 2021 8.6% 9.5%
June 2022 7.7% 10.7%

 

In the last financial year our pay gaps have stayed the same, lessened, or had a relatively small increase (see Table 2).

Table 2: Pay gaps across the past 3 financial years
  June 2020 June 2021 June 2022
Asian pay gap 10.2% 10.6% 10.0%
Disability pay gap 10.0% 10.2% 6.3%
Gender pay gap 9.6% 9.5% 10.7%
Māori pay gap 6.4% 5.4% 1.0%
MELAA pay gap 5.6% 8.7% 13.7%
Pasifika pay gap 15.0% 17.7% 18.5%

 

Over-representation in lower paid roles continues to be a key driver of our gender and ethnic pay gaps (see Tables 3 and 4).

Table 3: Gender representation across pay bands
Year 2021     2022    
Pay band Female Male Disabled Female Male Disabled
09 81.8% 18.2% 9.1% 87.5% 12.5% 6.3%
11 73.9% 26.1% 8.7% 68.4% 26.3%  
13 74.5% 25.5% 3.6% 70.4% 29.6% 5.6%
F0 55.3% 44.7% 13.5% 57.9% 41.4% 11.2%
15 52.6% 46.4% 3.6% 53.3% 45.3% 2.7%
17 52.6% 47.4% 8.1% 51.7% 48.3% 9.0%
19 48.8% 50.7% 4.4% 45.7% 53.8% 6.1%
21 38.8% 61.3% 2.5% 41.1% 58.9% 1.1%
23.2 47.8% 52.2% 13.0% 46.2% 53.8% 11.5%
23.1 28.6% 71.4% 4.8% 31.6% 68.4%  
Table 4: Ethnic representation across pay bands
Year 2021           2022          
Pay band Asian Māori Pasifika MELAA NZ European European Asian Māori Pasifika MELAA NZ European European
09 27.3% 18.2% 9.1%   27.3% 9.1% 25.0% 18.8% 12.5%   31.3% 6.3%
11 13.0% 8.7% 4.3%   52.2% 13.0% 5.3% 10.5% 5.3%   73.7% 5.3%
13 18.2% 9.1% 3.6% 1.8% 72.7% 5.5% 18.5% 7.4% 5.6% 1.9% 63.0% 3.7%
F0 7.1% 7.8% 5.7% 1.4% 74.5% 7.1% 8.6% 8.6% 5.3% 1.3% 74.3% 4.6%
15 13.1% 13.1% 3.6% 3.6% 64.3% 6.0% 14.7% 10.7% 6.7% 2.7% 60.0% 10.7%
17 12.6% 8.1% 2.2% 0.7% 67.4% 8.1% 14.5% 11.0% 2.1% 1.4% 64.1% 9.7%
19 8.8% 4.9% 2.9% 1.5% 67.8% 14.6% 10.7% 3.0% 2.5% 1.5% 70.6% 12.2%
21 8.8% 3.8% 1.3% 1.3% 66.3% 12.5% 9.0% 6.7% 1.1%   60.0% 18.0%
23.2   8.7%     87.0% 4.3%   3.8% 3.8%   84.6%  
23.1   4.8%     76.2% 23.8%   5.3%     73.7% 21.1%

 

We see some variability at the group level, both in representation and pay gaps, suggesting that occupational segregation is also a driver of our pay gaps (see Tables 5 and 6).

Table 5: Pay gap across groups
  Customer Delivery Digital Delivery Māori Crown Relations Organisational Effectiveness
Gender pay gap 13.0% 15.1% -5.6% 1.0%
Asian pay gap 16.5% 12.7%   15.4%
Māori pay gap 1.6% 9.9% -51.9% 4.4%
Pasifika pay gap 21.0%     19.9%
Disability pay gap 15.7% -1.7%   -9.0%
Table 6: Representation across groups
  Customer Delivery Digital Delivery Māori Crown Relations Organisational Effectiveness Total
Female representation 52.6% 33.6% 53.3% 57.8% 51.3%
Asian representation 7.2% 23.2%   11.5% 10.8%
Māori representation 7.4% 6.4% 33.3% 7.8% 7.9%
Pasifika representation 3.8% 1.6% 20.0% 2.9% 3.5%
MELAA representation 0.9% 1.6%   1.6% 1.2%
Disabled representation 6.8% 8.0% 6.7% 4.9% 6.4%

 

Kia Toipoto milestone

  • By the end of April 2023 entities ensure that starting salaries and salaries for the same or similar roles are not influenced by bias.
  • Agencies monitor starting salaries and salaries for the same or similar roles to ensure gender and ethnic pay gaps do not reopen.
  • Pay equity processes are used to address claims and reduce the impact of occupational segregation.

We have progressed this by:

  • using an independent market-based evaluation tool to size our jobs
  • reviewing appointment salaries based on skills and experience, and relativities against like-for-like jobs, including a gender/ethnic check for equity. As at 30 June 2022, the average position in range for appointment remuneration for males was 98.1%, and 98% for females
  • noting anomalies during an appointment process and remedying inequity issues if they arise
  • completing annual pay equity reviews, including checks on gender and ethnicity
  • removing market adjusted pay band ranges from our remuneration framework to support more equitable pay outcomes across occupations
  • reviewing mean pay rates in the revised remuneration framework and system outcomes with a focus on ethnic and gender equity.

In 2022/23 we will continue to embed this by:

  • using Te Orowaru, the job assessment tool which is supported by Te Kawa Mataaho and the PSA, to evaluate roles. We will do this when we move to implementing sufficient broad-based roles to enable an organisation-wide view.

What success will look like

  • A decreasing gender pay gap.
  • Decreasing ethnic pay gaps.

Leadership and representation

We have gender balance across our people leader cohort (see Table 7). More work is needed to improve leadership representation for our ethnic demographics.

Table 7: Gender and ethnic representation across our people leader cohort
  People Leader Non-People Leader
Female 50.0% 51.7%
Male 50.0% 47.7%
Asian 3.1% 12.1%
Māori 7.0% 8.0%
Pasifika 3.9% 3.4%
MELAA   1.4%
NZ European 72.7% 67.0%
European 11.7% 9.1%
Disabled 3.9% 6.8%

 

While our gender balance is representative of society, more work is needed to improve our ethnic representation across our workforce (see Table 8). 

Table 8: Ethnic representation across our workforce
  Customer Delivery Digital Delivery Māori Crown Relations Organisational Effectiveness Total
Female representation 52.6% 33.6% 53.3% 57.8% 51.3%
Asian representation 7.2% 23.2%   11.5% 10.8%
Māori representation 7.4% 6.4% 33.3% 7.8% 7.9%
Pasifika representation 3.8% 1.6% 20.0% 2.9% 3.5%
MELAA representation 0.9% 1.6%   1.6% 1.2%
Disabled representation 6.8% 8.0% 6.7% 4.9% 6.4%

 

Kia Toipoto milestone

  • By the April 2023 agencies/entities have plans and targets to improve gender and ethnic representation in their workforce and leadership.
  • By the end of 2024 the public service workforce and leadership are substantially more representative of society.

We have progressed this by:

  • continuing to investigate gender differences in STEM roles through qualitative data collection
  • reviewing our existing leadership development programmes to include an inclusive leadership lens that takes into account the value of cultural skills in work.

In 2022/23 we will continue to embed this by:

  • developing plans and targets to improve gender and ethnic representation in the workforce and leadership
  • continuing to investigate gender differences in STEM roles, which will inform the development of strategies to increase the representation of women
  • reviewing the Toitū Te Whenua recruitment resources and process as well as other recruitment initiatives to support the attraction and recruitment of a diverse workforce.

What success will look like

  • Our workforce is more representative of society.
  • Better ethnic representation across our people leader cohort.
  • Decreased occupational segregation, with a more even spread of genders.

Effective career and leadership development

We have gender balance across our people leader cohort (see Table 9). More work is needed to improve leadership representation for our ethnic demographics.

Table 9: Gender and ethnic representation across our people leader cohort
  People Leader Non-People Leader
Female 50.0% 51.7%
Male 50.0% 47.7%
Asian 3.1% 12.1%
Māori 7.0% 8.0%
Pasifika 3.9% 3.4%
MELAA   1.4%
NZ European 72.7% 67.0%
European 11.7% 9.1%
Disabled 3.9% 6.8%

 

Kia Toipoto milestone

  • By mid 2023 agencies/entities have career pathways and equitable progression opportunities that support women, Māori, Pacific and ethnic employees to achieve their career aspirations.

We have progressed this by:

  • establishing a capability framework to support our people with progression and development
  • reviewing our performance and development process and updating our tools and guidance to better support our people with their progression and career development.

In 2022/23 we will continue to embed this by:

  • reviewing and relaunching the Toitū Te Whenua mentoring programme
  • continuing to establish a progression system based on role-based capability to support growth of women, Māori, Pacific and ethnic employees and provide clarity about development options, which will be embedded as we move into broad-based roles
  • reporting on rates of participation and investment in learning and development by gender and ethnicity, and identifying priority areas for addressing any gender and ethnic disparity.

What success will look like

  • Our progression systems and processes are accessible and work for the different communities across Toitū Te Whenua.
  • Our rates of participation in learning and development initiatives are proportionate to our workforce representation.

Eliminating all forms of bias and discrimination

Kia Toipoto milestone

  • By the end of 2023 entities have remuneration and HR systems, policies and practices designed to remove all forms of bias and discrimination.
  • Agencies embed and monitor the impact of bias-free HR and remuneration policies and practices.
  • Agencies/entities ensure leaders and employees learn about and demonstrate cultural competence.

We have progressed this by:

  • introducing mandatory unconscious bias training for all employees, and monitoring this regularly. As at June 2022, 62% of our employees had completed this training.
  • selecting 'working/leading inclusively' as a compulsory development area for all our people to increase organisation-wide capability in 2021/2022
  • deploying an Inclusive Leadership module targeted at leaders
  • deploying cultural competence training to all levels of the organisation
  • training tier 1, 2 and 3 leaders in collective awareness of key events in the history of New Zealand’s bicultural relations.

In 2022/23 we will continue to embed this by:

  • reviewing and refreshing our existing People Policies through applying Manaaki Tangata (our diversity and inclusion strategy) principles to remove all forms of bias or discrimination
  • continuing to monitor and incentivise uptake of diversity and inclusion training and materials
  • refreshing and relaunching our leaders induction programme to support a consistent approach to our people practices.

What success will look like

  • We have a 90% completion rate of our unconscious bias training.
  • All of our people leaders have completed diversity and inclusion training.

Flexible work by default

Kia Toipoto milestone

  • By the end of 2024 agencies and entities offer equitable access to flexible-by-default working and ensure it does not undermine career progression or pay.

We have progressed this by:

  • establishing a leadership squad to advise on guidance and effective implementation of organisational people policies including flexible working arrangements
  • developing tools and resources to support leaders and employees to work flexibly
  • establishing a Remote Workers Network, Whānau Pāmamao, to provide additional support and provide advice on initiatives that support flexible working arrangements.

In 2022/23 we will continue to embed this by:

  • reviewing our flexible working policy and processes to support equitable access to flexible-by-default working
  • continuing to support and encourage our leaders to enable people to work flexibly.

What success will look like

  • Our flexible working policy and processes are simple to understand and use.
  • People feel empowered and enabled to work flexibly.
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