Economy with the truth on the gender pay gap

by frog

Another Minister has been caught out misusing statistics and being economical with the truth.  This time it is Women’s Affairs Minister Pansy Wong, replying to a Parliamentary Question from Catherine Delahunty:

Catherine Delahunty: How does the Minister think the 12 percent pay gap between men and women will ever be closed when women have no voice on Government groups shaping the future of our economy, our infrastructure, and our education system?

Hon PANSY WONG: I have very good news for that member. For 9 long years under the previous Labour Government, the 12 percent pay gap increased to 12.8 percent for the year ended June 2008. For the year ended June 2009, the pay gap had gone down to 11.3 percent. The National Government is working for women.

Part of Wong’s problem is that National wasn’t in Government for much of the period she referred to, and its policies wouldn’t have started to have much, if any, effect until near the end of the period she referred to.

I also cannot work out where she gets the 11.3% gap for June 2009 from. The Household Labour Force Survey reveals the average hourly male wage for June 2009 to be $26.14, while the average hourly female wage was $22.34. That equates to a gender pay gap of 12.0% – not 11.3%.

Let’s look at the December 2009 figures from the Household Labour Force Survey and compare them with December 2008 – that covers the first full year of the National-led government, which is a far more relevant period:

Source: Statistics NZ Household Labour Force Survey

Source: Statistics NZ Household Labour Force Survey

The gender pay gap has actually increased from 12.45% to 12.97% - some very bad news for the Minister, I would suggest.

Catherine also does a great job highlighting the paucity of woman appointees on important Government boards.  See the full video of the questions and replies:

frog says

Published in Economy, Work, & Welfare by frog on Fri, February 19th, 2010   

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