Pay Equity Isn’t the Problem. It’s Part of the Solution.

In the 2025 Budget, the Government announced $12.8 billion in “savings” due to changes in the Equal Pay Amendment Act—achieved by raising the threshold for pay equity claims, cutting off active cases, and removing review clauses from past settlements.

Those funds have now been reallocated to support essential services like health, education, and law enforcement.

But here’s the thing: we should not be funding our public services by denying women and underrepresented groups equal pay for work of equal value.

This isn’t just about fairness. It’s about productivity. It’s about economic growth.

When we close the gender pay gap:

  • More women stay in work and advance into leadership,
  • Household incomes rise, lifting children and families out of poverty,
  • The tax base expands, helping fund our infrastructure and social systems.

What we actually need is not a reduction in equity commitments—but a stronger, more resilient economy that enables us to pay for all the things we value: quality healthcare, education, safety and fair wages.

We don’t fix our economy by widening the pay gap. We fix it by investing in people and unlocking the full potential of our workforce—including those who have been historically undervalued.

The Diversity Agenda sees this as a lost opportunity, not just for women, but for the future of Aotearoa New Zealand.

We can do better.

#Budget2025 #PayEquity #GenderEquality #NZEconomy #DiversityAndInclusion #Productivity #FutureFocused #TheDiversityAgenda

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