New Zealand - May 2025

Parliament passed on 7 May the Pay Equity Amendment Bill, which significantly narrows the scope for pay equity claims under the 2020 Pay Equity Act. The old Act allowed for legal challenges to rectify historical gender-based pay disparities within or between comparable occupations. The new rules restrict the occupations that can bring cases by requiring a higher proportion of those employed in a profession to be women, prioritizes comparisons within rather than between professions, and places additional burdens of evidence on claimants. The effects of these measures will become clearer in practice. The new law dismissed all claims currently under consideration, negatively impacting women who have launched legal action alleging discrimination. The bill was condemned by gender equity advocates, the opposition, and unions as making equity claims between professions de facto impossible. Business groups supported the changes but criticized the process as undermining public trust.

Sources:  Radio New Zealand, DLA Piper, New Zealand Herald