In contrast to their male counterparts, women have historically undergone more significant changes in the labor market, particularly in terms of pay, according to Dixon (2000, p. 127). According to the author, differences in gender inequalities are caused by both the types and distribution of jobs as well as skill levels. In comparison to men, women earn less, participate in the labor force at a lower rate, and are more likely to work part-time. But since 1986, the percentage of women who work has increased compared to previously (Dixon 2000, p. 128). Regarding labor market and ethnicity is imperative to note that New Zealand consists of ethnic groups such as European, Pacifica People, Asian, and Maori. According to the new labor market data, Pacific People are the least employed individuals (53%), followed by Maori (58%), Asian (63%) and European (69%) (Perry and Maloney 2007, p. 18). In other words, the Pacific People and Maori have higher unemployment as compared to Asian and European Ethnicities.
Further, current statistics also looks at the labor market and disability in New Zealand and reports that there has been a significant increase in participation of disabled in labor market (44%) recently (Perry and Maloney 2007, p. 18). However, the rate has remained lower as compared to non-disabled individuals (75%).
Regarding age, youth (individuals with age between 15 and 24 years) face considerable challenges related to employment in the labor market. The group has the largest rate of unemployment than other ages. In particular, the older generation is perceived to have extensive training, skills, experience, and knowledge than younger people. Boomers make the greatest proportion of working age population in New Zealand.
Additionally, the national statistic of New Zealand labor market provides important data regarding the number of women and men in the workforce as well as discrepancies between compensation. According to the report, labor market participation by women has increased from 54.5% to 63.5% (1994 to 2015) (Bednarek 1998, p. 213). However, although men's rate has not changed, their employment rate is still higher than their counterpart. At the same time, women and men are compensated differently considering they have similar job positions. Currently, the country experiences 12% pay gap due to perceived tasks that men can accomplish as compared to women (Bednarek 1998, p. 213). Further, men are often perceived to be having greater skills, experience, and knowledge. Other contributing factors include attitude, behaviors, and biases toward women. Employers treat women differently as compared to men.
Importance of Diversity and Equality in the Workforce
Diversity and equality are important in the place of work because it allows retention of the best quality employees which means an organization can attain higher competitiveness. At the same time, a company can benefit from the same because diversity and equality result in the development of more positive working relationships which lead to high productivity, greater employee focus and engagement (Bednarek, 2014, p. 213). Additional, it results in increased performance. There have been several studied that compared the performance of companies with male executive boards with those having mixture of women and men. The result indicates that the difference in performance in organization governed by males only is lower than 2.53% which translated to loss of approximately $74 billion return on investment annually for larger firms (Bednarek 1998, p. 213). Also, diversity and equality in workplace enable the corporation to appeal to the wide customer. The more the company is diverse, the wider the appeal with people which affect the bottom line positively in the long run.
Similarly, different researchers have shown that diversity allows the business to be more innovative and creative because of the large pool of knowledge and experience available to tackle the problem and develop creative solutions and opportunities. The advantage is partly realized due to the positive working relationship that enables employees to interact, shared ideas and skills (Metcalfe and Woodhams 2008, p. 377). Finally, diversity and equality reduced the cost associated risk due to possible legal actions. A report released by New Zealand Labor Market Department indicated that unfair dismissal amount to £3 million which implies that the more an organization tackles issues of discrimination, the less the chance of facing legal proceeding which cost a considerable amount of money (Metcalfe and Woodhams 2008, p. 377). The risk is not only related to financial harm, but also certain public sectors tender required that the company is free from claims in the Employment Tribunal. Therefore, it is clear that there are numerous ways an organization can benefit from ensuring diversity and equality in their work environments.
Exclusion based on Race, Gender or Religion in Particular Sectors of Labor Market
The issue of social exclusion has always existed in all societies and at their distinct stage of development. In New Zealand and most parts of Europe, certain categories of people have been excluded from the provision of the welfare state. Gender-based discrimination is the most common basis of an exclusion in New Zealand due to the various historical dimension regarding men and women such as division of work, differences in wages, hiring and earning (Bednarek 1998, p. 215). Women have been excluded in the manufacturing industry, one of the sectors in labor market, because of their physical nature, acquired skills and education. Most of the manufacturing organizations have for a long time employed men in comparison to women because of their physical differences with male been perceived as capable of performing heavy tasks required (Bednarek 1998, p. 215). Although recently there has been considerable change in this trend, women still make less than two-thirds of the workforce population in New Zealand. Three-fourth of the adult females work in low-income sectors, and only 30% of the total women population works in better paying modern sectors of the country economy (Moore and Tailby 2015, p. 706). For example, transport and communication is one of the well-paying sectors and consist of only 0.43% of women as compared to 16% of men employees (Moore and Tailby 2015, p. 706). Also, according to the recent statistics, the public sector has secure pay with better social benefits, and only 16% of its employees are women. Overall, only 11% of women as compared to 29% of men have regular jobs in organized sectors (Chapple 1998, p. 219). Therefore, it is clear that there is a significant level of exclusion of women from the labor market in New Zealand.
National Evidence and Support Diversity and Inclusion
However, there is considerable national evidence that supports diversity and inclusion of women in workforce coupled with the establishment of measure that eliminates their discrimination and equality in the labor market. According to the National Labor Market Statistics reported by Hillcoat-Nallétamby and Baxendine (2004, p. 111), although there has been a fluctuation with women involved in the labor market, there has been significant increase involvement of women in employment since the 1990s to 2014. The report shows that employment of women aged 20 years has been increasing since as of 2013, four out of ten women were employed as compared to 1970s when only 1 of four 7 women was unemployed (Hillcoat-Nallétamby and Baxendine 2004, p. 117). Further, there are various employment laws that put forward to ensure women inclusion and reduction of discrimination, for example, the Human Right Act 1993 and Employment Relations Act 2000 prohibit discrimination based on age, ethnic origin, color, race, sexual orientation, political opinion, gender, religion, social status, and disability (Ongley 2013, p. 138).
Reasons National and Organization Policy Markers should be concerned about Segregation of Labor Market
National and organization policy makers should be concerned with labor market segregation because it reduced innovation and creativity. Also, diversity is one of the factors that help a company to grow, particularly, because of baby boomers are retiring. Additional, diversity allows the firm to reach more customers and attract a qualified pool of workers that lead to increased performance and productivity (Swenarchuk et al. 2002, p. 6). As such, there is a need for national and organization policy makers to move away from labor market segregation.
Other Factors that are allowing Women to Enter the Workforce
Globalization is one of the many factors that have allowed women to enter the labor market as the process increase their employment opportunities in modern economic sectors enabling them to control and earn income (Harbridge and Walsh 2002, p. 427). Further, globalization is potentially empowering because it contributes to fostering the capacity of women to negotiate their status and role with the household and society. Additionally, the process allows the corporation to take advantage of female employees (Rasmussen and Lind 2013, p. 17). Another important factor that is allowing women to enter the workforce in education and training which has become fundamental in current global policies. The approach has enabled women to survive the global economic pressure because the acquisition of knowledge has changed the traditional attitude and belief about the ability of women to perform formal work (Swenarchuk et al. 2002, p. 6).
References
Bednarek, L.B., 1998. The gender wage gap: searching for equality in a global economy. Indiana Journal of Global Legal Studies, 6(1), pp. 213-236.
Chapple, S., 1998. Benefit reform and labor market behaviour in New Zealand. New Zealand Journal of Employment Relations, 23(3), p. 219-223.
Dixon, S., 2000. Pay inequality between men and women in New Zealand. Labor Market Policy Group, Department of Labour, pp. 1-146.
Harbridge, R. and Walsh, P., 2002. Globalisation and labor market deregulation in Australia and New Zealand: different approaches, similar outcomes. Employee Relations, 24(4), pp. 423-436.
Hillcoat-Nallétamby, S. and Baxendine, S., 2004. New Zealand women's employment patterns: diversity or homogeneity?. New Zealand Population Review, 30(1&2):111-130.
Metcalfe, B.D. and Woodhams, C., 2008. Critical perspectives in diversity and equality management. Gender in Management: An International Journal, 23(6), pp. 377-381.
Moore, S. and Tailby, S., 2015. The changing face of employment relations: equality and diversity. Employee Relations, 37(6), pp. 705-719.
Ongley, P., 2013. Work and inequality in neoliberal New Zealand. New Zealand Sociology, 28(3), p. 136-163.
Perry, G. and Maloney, T., 2007. Evaluating active labor market programmes in New Zealand. International Journal of Manpower, 28(1), pp. 7-29.
Rasmussen, E. and Lind, J., 2013. In support of a New Zealand'living wage': Reflections on Danish'working poor'trends and issues. New Zealand Journal of Employment Relations (Online), 38(2), p. 17-32.
Swenarchuk, M., Ritchie, L., Vosko, L.F. and Cohen, M.G., 2002. Globalization: some implications and strategies for women. Canadian Woman Studies, 21(4), p. 6-14.
