AI-powered startup EvenBetter.ai has released findings from its Pay Gap Matters pulse check, which found that one in three women in Australia stated they would leave their employer as a result of significant gender pay gap.
EvenBetter.ai’s Pay Gap Matters pulse check surveyed Australian employees to understand how gender pay gaps influence their career decisions. The findings show a clear connection between pay equity and employee performance with gaps reducing motivation, narrowing the talent pool and increasing turnover.
The survey found that more than two-thirds of prospective female hires (71 per cent) would think twice before applying to a company with a high pay gap. Nearly one in three men (29 per cent) said the same. Motivation also suffers, with 41 per cent of women and 20 per cent of men said the existence of a pay gap reduces their drive at work.
“It is the first survey of its kind in Australia to measure how pay equity shapes day-to-day workforce choices,” said Sorrel Kesby, co-founder of EvenBetter.ai. “The results demonstrate that pay equity is a key driver of growth and a strategic priority for business leaders.”
The findings come as the Workplace Gender Equality Agency (WGEA) reports that more than 7,800 Australian companies have an average gender pay gap of 20 per cent. Over 3,000 companies have a pay gap considered high or very high, covering 1.6 million employees, including 750,000 women.
“This is about business performance,” said Ayal Steiner, co-founder of EvenBetter.ai. “Leaders who treat pay equity as a growth opportunity can unlock stronger engagement, attract better talent and improve retention. Pay transparency is becoming more commonplace and when over two-thirds of prospective female hires screen out a company before the first interview, then that company’s recruitment funnel and overall performance are impacted.”
The findings also reveal a snowball effect. Companies with larger pay gaps tend to attract more male candidates, which further widens disparities and erodes diversity over time.
“While the gender pay gap tends to have a greater impact on women, our findings show that the right balance is crucial for all employees, as men are also influenced by it when deciding where to work. This is about building the strongest and most diverse team to drive success,” added Kesby.
Understanding the drivers of the gender pay gap is complex and time-consuming, with HR teams often spending countless hours on compliance reporting and spreadsheets. EvenBetter.ai’s AI-powered platform is designed as a diagnostic tool, using market benchmarks and analytics to identify the root causes of pay gaps and recommend targeted actions. This gives leaders a clear starting point and a practical path to achieving pay equity faster.
