Recent data reveals a widening pay gap for Asian and Pacific individuals in New Zealand’s public sector. Despite progress in bridging pay disparities for Māori, with a reduction from 11.2% in 2018 to 5.4% in 2023, the gap for Pasifika remains substantial at 16.6%, only slightly improved from 21.6% in 2018. Alarmingly, the Asian pay gap has increased to 13% from 12.6% over the same period.
The gender pay gap in the public service has narrowed from 12.2% in 2018 to 7.1% in 2023, yet gaps for Māori, Pacific, Asian, and disabled women remain significantly higher. In departments such as Inland Revenue, Asian and Pasifika employees continue to face the highest ethnic pay gaps, with recent increases to 15.92% for Asians and 13.5% for Pasifika as of July 2024.
The Ministry of Business, Innovations and Employment reported high pay disparities, particularly for Pasifika at 20.4%, four times the Māori pay gap, and 17.5% for Asians. Similarly, the Department of Internal Affairs reports significant pay gaps for Pasifika, Asians, and people from Middle Eastern, Latin American, and African backgrounds.
The University of Auckland documented a glaring pay gap of 33.5% for Asian women in academic roles and 13.1% for Pacific women among professional staff. The disparity is partly attributed to the higher concentration of these groups in lower-level positions, often early in their careers.
Auckland Council has yet to report comprehensive ethnic pay gap data for Asians, despite representing 20% of its workforce. By 2043, projections suggest Asians will constitute 44% of Auckland’s population, highlighting a critical need for better representation and equity. The council plans to expand its reporting categories to include Asian data by 2025 to better address these disparities.
Researcher Dr Ritupurna Roy highlights systemic issues within the labor and immigration framework as contributing to pay gaps, particularly affecting Asian immigrants whose qualifications and experience are often undervalued. Advocacy groups call for increased transparency and acknowledgment of biases to ensure equitable career advancement opportunities for women of color, particularly Pacific women who face cultural and employment barriers.
These findings underline the urgent need for targeted policies addressing ethnic pay disparities, emphasizing the importance of data collection and analysis to foster an inclusive and equitable workplace environment.
