As the national gender pay gap marginally improves, the media and advertising industry is in retreat, in spite of nearly 60 per cent of the workforce made up of women.
Yesterday’s Workplace Gender Equality Agency (WGEA) data dump, which accounts for FY25, release shed light on the lack of progress of adland compared to the Australian workplaces, albeit using data that is nearly a year old.
Despite a 0.7 per cent improvement in the national gender pay gap (down from 21.8 per cent to 21.1 per cent), the media services industry experienced a 0.5 per cent increase year-on-year, rising from 14 per cent to 14.5 per cent.
The gap is now equivalent to $19,000 per annum on the average national salary.
While the average industry salary increased annually from $133,000 to $142,000, the average increase for female employees ($9,000) was approximately $1,000 less than the average increase received by male employees (approximately $10,000), according to EvenBetter analysis of advertising agencies shared exclusively with B&T.
Seniority remains the principal factor contributing to the pay gap. Despite high overall female representation (57 per cent), women constitute only 42 per cent of employees in top-earning roles.
The highest earning quartile (Q-$$$$) is 68 per cent male, with salaries averaging $280,000, nearly double the industry average of $140,000.
“In an industry where women make up almost 60% of the workforce, that representation should be reflected at the highest levels of pay. While we’ve seen a 2 per cent improvement in female representation in the top quartile, Q4 — the quartile experiencing the strongest year-on-year salary growth — is 60 per cent male,” EvenBetter founder and CEO Sorrel Kesby said.
“The industry’s gender pay gap has increased by 0.5 per cent against a backdrop of national decline. That contrast should be a sobering signal for industry leaders, and equally concerning for women considering a long-term career in media.”
Separate analysis by TrinityP3, which analysed more than 30 major media and advertising companies (see bottom table), found that a number of large media companies—Nine Publishing, Foxtel and Seven West Media—are moving in the right direction in terms of closing the gender pay gap.
The media companies with the widest average pay gap are Fairfax Digital (27.1 per cent), Val Morgan (26.2 per cent) and Ace Radio (23.5 per cent).
The widest median gender pay gaps, which is usually a better measure of what rank and file employees earn, belong to Fairfax Digital (39.2 per cent), Spotify (25.1 per cent) and oOh!Media 22.5 per cent).
The media company with the most positive average gender pay gap is Mamamia (4.6 per cent in favour of women), while JC Decaux (4.1 per cent in favour of women) led the way on median gender pay gaps.
For agencies, VML (23.1 per cent), Publicis Communications (22.5 per cent) and TBWA Sydney (22.3 per cent) had the widest average gender pay gaps, while Ogilvy (27.6 per cent), TBWA Sydney (22.4 per cent) and DDB Sydney (19.1 per cent) had the widest median gender pay gaps.
CHEP (18.2 per cent in favour of women) led the charge for average pay gaps and median pay gaps (11.6 per cent). Since the data was collated (FY 25), Chep merged with Clemenger and, subsequently DDB.
“After three years of this data, it is clear that the annual pay gap numbers release has definitely elevated this issue,” TrinityP3 general manager Lydia Feely said.
“Our challenge is: how do we get employers to care about the pay gap the other 364 days of the year? While we have definitely seen some improvements among some players, there is still not enough being done.”
Feely also noted the decreasing number of companies who have published their own pay gap reports.
“It really surprises me that, in the third year of this reporting, so many companies are still allowing these complex and important numbers to go out without taking the opportunity WGEA gives you to make an employer statement or report,” she said.
“Making a statement and providing context demonstrates – to current employees, potential recruits, and to the wider industry – that you are taking this issue seriously.”
TrinityP3 chief executive Darren Woolley said that equity is an issue that impacts both men and women.
“Each year we see around half of all pitches ask potential partners how they are addressing gender equality and the pay gap,” he said.
“If our industry is committed to the principles of fairness and inclusiveness, then closing the ongoing gender pay gap must be a high, year-round priority. We need to see an ongoing focus on this by everyone from the board, C-suite, and shareholders down.”
