Your guide to understanding new workplace gender equality targets

On 26 March 2025, the Workplace Gender Equality Amendment (Setting Gender Equality Targets) Bill 2024 (the Bill) was passed by Parliament and became law. The Bill was introduced by the Albanese Government in November 2024 and requires large employers to set gender equality targets. It aims to level the playing field in workplaces and will result in significant changes to workplace practices.

The Bill results from the WGEA Review, being the review of the Workplace Gender Equality Act 2012 (Act) in 2021.

The Act was originally established to promote and improve gender equality in the workplace and support employers in advancing workplace gender equality. The principal objects of the Act are to:

1. Promote and improve gender equality (including equal remuneration between women and men) in employment and in the workplace; and
2. Support employers to remove barriers to the full and equal participation of women in the workforce, in recognition of the disadvantaged position of women in relation to employment matters; and
3. Promote, amongst employers, the elimination of discrimination on the basis of gender in relation to employment matters (including in relation to family and caring responsibilities); and
4. Foster workplace consultation between employers and employees on issues concerning gender equality in employment and in the workplace; and
5. Improve the productivity and competitiveness of Australian business through the advancement of gender equality in employment and in the workplace.

The workplace gender equality targets initiative arising from the Bill are a global first, positioning Australia as a trailblazer in advancing gender equality. Here, we explain these legislative changes, their impacts on businesses, and why gender equality targets are now the focal point of Australia’s workplace relations framework.

How will the Workplace Gender Equality Amendment impact businesses?

The Act will require relevant businesses with 500 or more employees to set three-year gender equality targets.

Businesses must assess their operations and deliver target outcomes three years after implementation. Achievement of, or at least notable improvement in, the target areas must be demonstrated and detailed within a report submitted to the WGEA. These reports will be made public for accountability and transparency. At the end of the three-year period, businesses will be required to set new targets.

What information will these reports be required to include?

Relevant employers with 100 or more employees are required to submit annual reports to the WGEA. These reports must include information that refers to the WGEA’s six gender equality indicators (GEI’s), as outlined below:

1. Gender composition of the workforce.
2. Gender composition of governing bodies of relevant employers.
3. Equal remuneration between women and men.
4. Availability and utility of employment terms, conditions, and practices relating to flexible working arrangements for employees and to working arrangements supporting employees with family or caring responsibilities.
5. Consultation with employees on issues concerning gender equality in the workplace.
6. Sexual harassment and harassment on the grounds of sex or discrimination.

The purpose of the 3-year gender equality targets is to progress gender equality in the workplace against the six GEIs.

What happens if your business doesn’t achieve its set workplace gender equality targets?

If the WGEA confirms that there was a failure to achieve a set target or insufficient improvement in that target, businesses will be deemed as non-compliant with the Act and WGEA may publicly report their non-compliance. In addition, the business won’t receive a certificate of compliance. This outcome may negatively impact the ability of the business to win services and supply contracts with the Australian Government.

Additionally, non-compliance could cause damage to an organisation’s business reputation – inviting societal retribution, employee discontentment, or public pressure for future change.

Notably, there are no direct financial penalties for failing to comply.

What does this legislative change mean for businesses?

Prioritising gender equality is not just a compliance issue; it’s a strategic opportunity to foster trust, create and realise commercial opportunities, attract talent, and position businesses as leaders in a rapidly evolving landscape.

The Bill underscores the growing significance of gender equality in Australia, emphasising the responsibility of businesses to actively promote and report on progress. Businesses that fail to prioritise gender equality risk significant reputation harm, diminished commercial opportunities, strained relations with their current employees, and a hindrance in recruiting future employees.

If any of this information has raised questions about gender equality targets for your business or you have another workplace matter you need assistance with, please reach out to our friendly Citation Legal team for a confidential chat.

About our author

Amanda Curatore is a qualified Solicitor and Senior Associate at Citation Legal and Citation HR. Amanda is highly experienced in providing workplace relations advice and assistance to clients in a wide range of matters, including employment contracts, modern award interpretation, managing performance, bullying and harassment, terminations and managing risk.