International Equal Pay Day: Advancing Equality Beyond 2024

International Equal Pay Day

We mark September 18th as a global day of reflection to renew our efforts to address the gender pay gap alongside other countries who understand that closing the wage gap boosts the economy, reduces poverty and fosters a more equitable society.

This year, Canada ranks 36th in the World Economic Forum’s Global Gender Gap Index and in spite of achieving important legislative milestones like Canada’s Federal Pay Equity Act, ongoing challenges persist in closing the gap.

The Current Landscape

Despite significant advancements in gender equality over the past decades, the gender pay gap remains a pressing issue in Canada and worldwide. According to recent data, women in Canada still earn, on average, 84 cents for every dollar earned by men. 

This disparity is even more pronounced for women who face multiple barriers, including Indigenous women, racialized women and women with disabilities. Census data shows that Indigenous women earn an average of 26% less than Indigenous men, while visible minority women earn an average of 28 percent less than visible minority men. Women with disabilities earn approximately 20 percent less than men with disabilities.

To put this in further perspective, a 2022 study revealed that racialized women earned significantly less compared to white men: Black women earned 58.5%, South Asian women earned 55.1%, Chinese women earned 65.4%, and racialized women overall earned 59.3% of what white men earned.

The Lasting Impact

A lifetime of pay inequality leaves many women retiring into financial insecurity or even poverty, which disproportionately affects their quality of life in later years. Earning less throughout their careers results in smaller retirement savings, reduced pension benefits and limited access to financial resources during retirement, making it difficult to maintain a stable and comfortable lifestyle. The risk of falling into poverty means that women are sometimes forced to stay in abusive relationships.

Additionally, women often carry the burden of unpaid domestic labor, taking on the majority of household chores and caregiving duties. This unpaid labor can limit their ability to pursue higher-paying career opportunities and further widens the financial stability gap. As a result, many women find themselves juggling multiple roles, contributing to the cycle of stress, burnout and limited career advancement. The cumulative effect of these challenges creates a complex level of inequality that affects women across generations.

“Women continue to lag behind men in retirement savings and overall lifetime earnings. Addressing the gender pay gap is essential to correcting this economic disparity, along with increasing financial literacy and education, providing women with the financial foundation they need to secure their futures and thrive,” says Dr. Vicki Stronge, who serves on SCWIST’s board of directors and has over 18 years working in the STEM industry.

The Path Forward

Achieving pay equity requires a multifaceted approach involving governments, employers and individuals. 

• Legislative Action: Reach a balanced policy-landscape in Canada where provincial and territorial governments enact legislative action that brings us closer to achieving pay equity. At present, the federal pay equity act only applies to federally regulated workplaces. 

• Corporate Responsibility: Companies work with pay compensation and HR specialists to take actionable steps to achieve pay equity, which include implementing unbiased recruitment and promotion practices and providing equal opportunities for training and development.

• Individual Empowerment: Develop skills to negotiate salaries, seek mentorship, navigate career paths, and pursue leadership training, networking opportunities and financial literacy to advocate for oneself.

Celebrating Wins and Pushing Forward

As we note International Equal Pay Day in 2024, we celebrate the progress made while recognizing the work that lies ahead. It’s also a day to honour the achievements of those who have tirelessly advocated for pay equity and to recommit ourselves to the ongoing fight for fairness.

Each step taken towards closing the gender pay gap brings us closer to a more just and equitable world. By working together, we can ensure that future generations inherit a society where equal pay for equal work is not just a goal, but a reality. 

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