(ii) work under the same, or substantially
similar, conditions, and with the same, or
substantially similar, degrees of effort.320
In terms of unlawful discrimination more generally,
section 2A(1) of the Act states:
No employer shall refuse or omit to offer
or afford any person the same terms of
employment, conditions of work, fringe benefits,
and opportunities for training, promotion, and
transfer as are made available for persons of
the same or substantially similar qualifications
employed in the same or substantially similar
circumstances on work of that description by
reason of the sex of that person.321
The Act came after the report of the 1971
Commission of Inquiry into Equal Pay found that
“women are paid as members of a category of lesser
economic worth” which is “based on tradition and is
without justification”.322 When the Act was passed, it
was unclear whether it covered pay equity. It was not
until 2014 that the Court of Appeal clarified that the
Act covered pay equity as well as pay equality.323
Notably, the report and the resulting Act itself does
not mention intersecting inequities on the basis of
ethnicity and race, therefore making it impossible for
a Pacific person to bring a pay equity claim on the
basis of ethnicity and for a Pacific woman to bring an
intersectional discrimination claim on the basis of her
ethnicity and race as well as her gender.
6.2.2 Pay transparency and mandatory reporting
There appears to be a lack of transparent measures
in Aotearoa New Zealand policy that secure pay
transparency and direct mandatory reporting
for workplace discrimination or issues regarding
pay equity. Transparency within pay rates would
provide an opportunity for true structural change
by establishing pay gap monitoring and identifying
clear steps to closing the Pacific Pay Gap.324 Making
pay rates accessible means that efforts can be
tracked and employers can be held accountable
with initiatives established to respond to such goals.
As Lytle argues, any concern that pay transparency
might be taken out of context can be addressed
if policy reflects honest goals to be met by local
governments and employers through their own
policies.325 This would mean holding these bodies
accountable in their movements for addressing
income disparities, and if there is adequate
justification as to why certain individuals are to be
paid more (for example, if they are more qualified
individuals), there are funded steps employees can
take to receive payment promotions and further
upskill their work such as additional training and
education.326
6.2.3 Fair pay agreements
In May 2021, the Government announced its plan to
pass legislation to implement fair pay agreements
in response to the lag in wage growth compared
to the country’s economic growth. The purpose of
fair pay agreements is to shift bargaining power to
employees, which in the long term is envisioned to
increase living standards and share the benefits of
increased productivity more widely.327
However, based on available sources, this legislation
does not intend to address the Pacific Pay Gap
specifically or consider ethnic disparities more
generally. The proposed legislation will ensure that
unions initiate the fair pay process. However, the
exact number of Pacific union members is unclear,
although there is publicly available data on gender.328
320
Equal Pay Act 1972, s 2AAC.
321
Equal Pay Act 1972, s 2A(1).
322
Commission of Inquiry into Equal Pay in New Zealand. A. R. Shearer, Government Printer, H. 54, September 1971) at 12.
323
Terranova Homes and Care Ltd v Service and Food Workers Union Nga Ringa Tota Inc, [2013] NZCA 575 at [147].
324
McAllister et al., “Glass Ceilings in New Zealand Universities,” 282.
325
Lytle, Tamara. “Should HR Make Pay Public?” Society for Human Resource Management, updated September 1, 2014, 4. https://
www.shrm.org/hr-today/news/hr-magazine/pages/0914-salary-transparency.aspx.
326
Lytle, “Should HR Make Pay Public?” 3; New Zealand Human Rights Commission, Talanoa, 42.
327
Ministry of Business, Innovation & Employment. The Proposed Fair Pay Agreement System. Wellington: Ministry of Business,
Innovation & Employment, undated, 1. https://www.mbie.govt.nz/dmsdocument/14294-the-proposed-fair-pay-agreementsystem-pdf.
328
Ryall, Sue, and Stephen Blumenfield. Unions and Union Membership in New Zealand – Report on 2017 Survey. Wellington:
Centre for Labour, Employment and Work, 2017, 10. https://www.wgtn.ac.nz/__data/assets/pdf_file/0008/1814588/newzealand-union-membership-survey-report-2017.pdf.
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