Inland Revenue is committed to having a workplace free from inequalities. In 2018, we published our first action plan to reduce any gender pay gap. We've since widened our scope to include any ethnic pay gap. Between 2016 and 2022, our gender pay gap has reduced from 20.6% to 17.7%.
We've analysed different areas that show us gender and ethnicity are not a determining factor in what people get paid at Inland Revenue. The average salary is the same for both men and women in the same or similar roles. Where the average salary differs across roles, this can be attributed to factors such as experience, age or length of service.
Our gender and ethnic pay gaps are driven by the roles people are in, particularly the high numbers of women and ethnic minorities in lower-paying and customer-facing roles. Our challenge is to ensure a gender and ethnic balance at all levels of Inland Revenue.
With this in mind, we set a 5-year goal in 2018 to increase women in leadership, which we achieved in 3 years. We aimed for a 40-40-20 gender mix (40% identifying as female, 40% identifying as male and 20% for natural fluctuations and gender diverse) for all people leadership roles. As at 30 June, 57% of senior management positions are held by women.
We're working to maintain the gender balance we now have and improve ethnic representation. Our employee ethnicity reflects the ethnicity of New Zealand. However, most of that diversity is in roles with lower pay bands and customer-facing roles.
We're working to develop our diverse talent into senior and technical roles and to help leaders recruit diverse talent into Inland Revenue. At the same time, we're not forcing change in the ethnic or gender balance across our workforce just to reduce the pay gap statistic - frontline roles are an entry point for women and people of different ethnicities into Inland Revenue.
Our relatively low turnover means that changes in our representation will take time.
You can read more about what we're doing in our current Gender and Ethnic Pay Gap Action Plan.
Our Gender Pay Gap Action Plan
We're reviewing our progress against the outcomes and milestones of Kia Toipoto, pay gaps guidance from Te Kawa Mataaho the Public Service Commission.
Our diversity and inclusion road map for the next 12 months will include our gender and ethnic pay gap action plan. This will be published by November 2022.
The gender pay gap indicates the average difference between women and men's earnings. It's calculated as the difference between the average total remuneration for females and the average total remuneration for males.
The median gender pay gap is calculated as the difference between the middle value of all females' total remuneration and the middle value of all males' total remuneration.
The gender pay gap shift
- 17.7% in 2022 (from 20.6% in 2016).
- 17.7% Overall (mean) gender pay gap. Median gender pay gap: 23%.
- -0.3% Average gender pay gap (weighted) within role. Within pay band: 0%.
Women are in leadership roles
As at June 2022:
- 64% of team leads are women. Compared to 66% in 2017-18
- 46% of managers are women. Compared to 51% in 2017-18
- 57% of senior managers are women. Compared to 31% in 2017-18.
| Ethnicity | Inland Revenue | New Zealand |
|---|---|---|
| European | 66% | 70.2% |
| Asian | 19% | 15.1% |
| Māori | 12% | 16.5% |
| Pacific peoples | 9% | 8.1% |
| Middle Eastern, Latin American, African | 3% | 1.5% |
| Other ethnicity | 0.8% | 1.2% |
Because our people can identify with multiple ethnicities, figures may add up to over 100%.
| Ethnicity | Team leader | Management | Senior management |
|---|---|---|---|
| European | 80.6% | 90.6% | 96.4% |
| Māori | 10.0% | 11.3% | 3.6% |
| Asian | 7.5% | 6.6% | 3.6% |
| Pacific peoples | 7.5% | 3.8% | 3.6% |