The statute speaks again - An assessment of New Zealand's journey towards pay equity: The difficulties and implications of an equitable solution

Abstract

In 1893 women won the right to vote. Since then, women have been calling for pay equal to that of men. This work evaluates the latest and first successful equal pay claim made under the Equal Pay Act 1972: Service and Food Workers Union Nga Ringa Tota Inc v Terranova Homes and Care Ltd [Terranova]. Terranova redefined the Act’s requirements for the implementation of equal pay and ended four decades of legislative fossilisation. The scope of the requirement of equal pay for female employees for work exclusively or predominantly performed by them contained in s 3 was interpreted broadly. The potential fiscal implications of Terranova created a situation ripe for political action. The Joint Working Group on Pay Equity Principle was established by the Government and negotiations between the Government and residential care industry began. However, this paper’s conclusion is that effective implementation of equal pay is unlikely. The financial cost of the decision is the most significant barrier. There are significant structural barriers to implementation and deeper issues of systematic gender discrimination remain. Viewed correctly, Terranova does not signify attainment of equal pay; rather it is the start of a journey towards successful implementation.