Women face earning curve on pay

WOMEN live longer but earn less money, so it's time to get serious about getting paid more in 2010.

By Alex Tilbury
News Corp Australia newspapersFebruary 15, 201010:25am

WOMEN live longer but earn less money, so it's time the sisterhood got serious about getting paid more in 2010.

As the economy grows and caution in business gives way to optimism, it's natural for all workers to want more money.

If your wage hasn't grown by at least the CPI rate, you're not standing still, you're actually going backwards as your cost of living has grown.

Last year, "wage freeze'' was a key term. This year employers can expect to get hit up for more as workers dug deep and worked hard through the global financial crisis.

Alysia Hamilton, who heads networking group GLAM (Girls Learning About Money) says even as young girls, women don't learn how to "play ball''.

"Women don't often stand firm and show how we can provide value,'' she says.

"Also, you have to ask for a pay rise, and women don't like asking for money. If you ask, it'll either get you the raise or some specific things you need to do to get paid more.''

Ms Hamilton says boys learn how to compete from a young age.

"So when you are at work and competing with boys, the girls don't know how to play the ball game and we have to learn or lose. Boys respond to the game,'' she says.

Ms Hamilton recommends always asking for 20 per cent more than you expect to get.

"Because then you have room to negotiate, and it is also wise to give the person on the other side the feeling of power so you give them room to take off a few items knowing you have built in a 20 per cent buffer at the start,'' she says.

Sales jobs pay well, as there are incentives for performance, but traditionally female-dominated roles in aged care, nursing, teaching and childcare are less well paid.

Women in Australia have made significant advances in education. Australia is ranked first in the world for women's educational attainment and more than half of all students enrolled in higher education are women.

The Australian Human Rights Commission reports that women outnumber men three to one in health and education courses and men outnumber women five to one in engineering courses.

Not surprisingly, there is a considerable disparity between weekly earnings of a teacher and an engineer.

Mark Steyn, chief executive of recruiter Hudson in Australia and New Zealand, says there is still "systemic discrimination against women'' and "a boys club''.

"This is bad for business, bad for us and bad for Australia,'' he says.

"Those organisations getting it right those who are offering things such as paid maternity leave, flexible workplace practices and career pathways are showing higher retention rates of women.

"The outcomes are the retention of a skilled and experienced workforce, higher morale and reduced costs of recruitment and turnover. But we have a long way to go yet.''

Family responsibilities and motherhood hit hard.

Male earnings average more than $55,000 between 35 and 54 years while women average $38,000 in the same years, according to research for AMP.

Overall average personal savings is $132,200 for men and $79,100 for women. Having a baby is still a major trigger point for problems.

Women fear that falling pregnant will stymie their career, research by CareerOne.com.au shows.

It found three-quarters of female respondents believed it was difficult to be in a highly paid executive role and raise a family. Most men (73 per cent) don't think parenthood affects their chance of a promotion.

The CoreData research found 48 per cent of women believe they have been passed over for jobs or promotions because of their gender.

CareerOne.com.au editor Kate Southam says there is a strong message for employers who do not champion family-friendly policies.

"Employers need to look at their workplace culture to ensure it is not biased towards male success,'' she says.

"Nearly half our female respondents believed they were passed over for promotion because of their gender.

"That might not be the case but perception is everything when it comes to developing a strong employer brand.''

She says women should develop skills to position themselves for promotion.

Full time weekly average earnings
Females $1061.50
Males $1282.50
Source: ABS

Super retirement payouts
Females $73,000
Males $155,000
Source: Treasury

Life expectancy if born in 2010
Females age 84.4
Males age 80.1
Source: Treasury

Super balances
Females $18,500
Males $31,250
Source: ASFA

Smashing the glass ceiling
1. You need to ask for a pay rise or promotion, rather than wait for it.
2. Be assertive, but not aggressive, when approaching the boss.
3 .Ask for 20 per cent more than you expect to receive, to give you and the employer negotiating room.
4. If your request is knocked back, ask for some things you need to do to get paid more.
5. Once you have fulfilled those requirements, ask again.
6. To prepare your approach, write down your skills, achievements and what you contribute to the business.
7. Visualise asking for the pay rise and any objections you may receive. Role play it with someone you trust.
8. Knowledge is power, so educate yourself to improve your chances of promotion.
9. Know your rights by checking your state's equal opportunity or anti-discrimination commission's website.
10. Ask yourself if there are other reasons why you are being overlooked. Do you push too hard for change, or have difficulty communicating ideas?

Originally published as Women face earning curve on pay

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