Gender Pay: The "Sticky Floor" and "Glass Ceiling" in our Century

By: Daily Ramasia

The evolution of the gender pay gap has manifested differently across the generational spectrum and income levels, a reality symbolically illuminated in South Africa on 9 August 1956 during the historic Women’s Anti-Pass March. Despite decades of progress, women, particularly in entry-level or caregiving roles, continue to face the "sticky floor" of low pay, while the "glass ceiling" remains a barrier to top leadership positions. South African data reveals that the pay gap is most pronounced at both the lower and upper ends of the income distribution, underscoring the structural nature of the problem.

Today, the gender pay gap is further complicated by a factor never before experienced at this scale: the presence of a multi-generational workforce. Each generation navigates different economic, social, and institutional challenges, yet the pay disparity persists across them all. Globally, no country is immune to this entrenched issue. Women continue to earn, on average, 20% less than men (United Nations) for work of equal value, an economic inequality with profound implications for individuals, families, and national economies alike.

The Persistent Chasm: Unpacking the Gender Pay Gap and Beyond

The root of the gender pay gap lies in how women are employed, developed, and empowered across all sectors of the economy, both formal and informal, public and private. According to the World Economic Forum’s 2025 Global Gender Gap Index, only 68.8% of the global gender gap has been closed across 148 economies. Alarmingly, the report estimates it will take 123 years to achieve full global gender parity, 135 years to close the gap in economic participation and opportunity, and 162 years to fully bridge the overall gap.

Further, the following bodies provide a broader understanding and examined the prevailing relevant issues from an in-depth standpoint:

  • International Labour Organization (ILO): ILO has long championed "equal remuneration for men and women workers for work of equal value," enshrined in its Convention No. 100. They emphasize that this gap (20%) is often unexplained by differences in skills or education, pointing instead to gender-based discrimination, the undervaluation of traditionally female-dominated work, and the disproportionate burden of unpaid care work on women. The ILO, along with UN Women and the OECD, leads the Equal Pay International Coalition (EPIC) to drive concrete action towards closing this gap.

  • Organisation for Economic Co-operation and Development (OECD): OECD's data insights show a persistent gender wage gap across its member countries, averaging around 11.3% in 2023. The data highlight that while progress has been made, it's been modest. The OECD identifies factors such as horizontal and vertical segregation, the "motherhood penalty" (where women's wages decline after having children due to career interruptions and reduced hours). The OECD strongly advocates for pay transparency policies, including gender pay gap reporting, as a vital tool to illuminate disparities and to pressure employers to address them.

  • United Nations (UN):: UN views gender equality, including equal pay, as central to its Sustainable Development Goals (SDGs), particularly SDG 5 (Gender Equality) and SDG 8 (Decent Work and Economic Growth). The UN emphasizes that the global gender pay gap (20%), represents a systemic issue transcending across borders and industries. UN note that the gap often widens for women of colour, indigenous women, and mothers. UN underlines that closing this gap is not just a matter of fairness, but a significant economic opportunity, with estimates suggesting it could boost the global economy by trillions of dollars.

  • Johannesburg Stock Exchange (JSE):: In South Africa, the Employment Equity Act mandates certain employers to report on pay gaps, including those related to gender. However, a recent report by Just Share reveals that a majority of JSE Top 40 companies fail to voluntarily disclose their gender pay gaps, even though many already comply with mandatory reporting in other jurisdictions. This highlights a critical point that while legislation is essential, a culture of transparency and accountability is equally vital.

The JSE's move to mandate policies promoting gender diversity at board level and its active promotion of financial literacy for women are positive steps. However, the lack of widespread public disclosure of gender pay data among listed companies in South Africa demonstrates that without explicit legal requirements, progress can be slow.

The combined efforts of ILO, OECD, UN, and national institutions like the JSE provide comprehensive roadmaps for addressing the gender pay gap. By grounding these strategies in local realities, such as those in Gander, within the broader global context, we can move toward a future where fair pay is not merely an aspiration but a fundamental right for all.

Moving Forward: A Shared Responsibility

The gender pay gap in Gander, like elsewhere, is a complex issue with deep societal and economic roots. Addressing it requires a multi-pronged approach:

  • Private and Public Sector to Take Charge: Across all levels, both the private and public sectors must move beyond reliance on government legislation or reforms. Instead, they should embed gender equality and pay equity into their core business strategies - proactively driving transformation and transparency beyond legal compliance. This shared responsibility ensures that organizations not only report on disparities but also take meaningful action to close the gaps.

  • Challenging Occupational Segregation: Initiatives aimed at encouraging women to enter male-dominated, higher-paying fields, while also re-evaluating the value of women-empowered roles, development, and inclusion, particularly within the context of a multi-generational workforce.

  • Addressing the "Motherhood Penalty": Implementing progressive policies that support work-life balance, affordable childcare, and shared parental leave can help reduce the negative impact of caregiving responsibilities on women's careers and earnings. Additionally, both the public and private sectors should address the burden of high personal income tax, which disproportionately affects overall pay parity, particularly for single mothers.

  • Educating and Empowering Women: Equipping women with negotiation skills and promoting awareness of their rights to equal pay can also contribute to closing the gap.

  • Valuation of "Care" & "Soft" Skills: Re-evaluate and revalue traditionally female-dominated sectors (e.g., care, education, social work) to ensure their critical societal value is reflected in compensation. Recognize and explicitly reward "soft skills" (e.g., empathy, collaboration, communication), often disproportionately attributed to women, in performance evaluations and compensation frameworks. Lastly, fair compensation across all sectors and skills, reducing the undervaluation of female-dominated work.

CONCLUSION

My concluding remarks are to challenge business professionals with the following critical questions to help them stay ahead of the curve:

  • What bold and innovative actions can we take to drive meaningful change?

  • How do we move beyond compliance—beyond legislation, statutory requirements, and regulatory reporting—to truly transform the landscape of pay equity and inclusion?

  • What does gender pay equity look like within a multigenerational workforce?

  • How can we evolve generational gender pay and reward strategies, structures, governance, and codes of good practice to effectively address equity across all workforce generations, particularly in the context of the Fifth Industrial Revolution (5IR) and emerging crypto remuneration models?

  • What interventions in income tax law could help reduce the net pay gap and address the rising cost of living?

Daily Ramasia:
Telkom Group Executive: Group Reward I Performance I HRDT
NED: HPCSA
Executive MBA I ESG Certified I IoDSA member I Master Reward Professional I International Mobility Specialist

“Freedom cannot be achieved unless women have been emancipated from all forms of oppression”: Former Late President Nelson Mandela