Scroll down to read about a project Datamine did with the Ministry of Health.

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THE CHALLENGE

In 1960 the Government Service Equal Pay Act gave women working in the public sector the same pay as men when they were doing the same job. Since then, women have moved into the workforce in increasing numbers, and in new areas.  While significant progress has been made, there is still a gap in the average earnings of women and men, and various occupations are still dominated by one gender.

As part of a government wide initiative to investigate why the gaps exist, the Ministry of Health asked Datamine to contribute to and inform their pay equity review process by conducting some detailed analysis of their pay and entitlements profile, with regard to gender representation and distribution.

THE SOLUTION

After some initial exploratory analysis of the data, Datamine built nine individual models for each of the Ministry’s workgroups such as Policy Analyst, Advisor etc.  Using multiple linear regression, the models measured the effect of the following factors on pay equity:

  • Gender
  • Ethnicity
  • Age
  • Role
  • Job size
  • Directorate
  • Organisational unit
  • Region
  • Manager's gender
  • Agreement type
  • Permanent/Temporary
  • Annual leave
  • Performance rating
  • Tenure

THE RESULT

In five of the models, some evidence of gender differences was found, including gender interactions (relationship between the gender of the manager and employee).  In all cases, the size of the job explained the majority of the variations in total fixed remuneration. 

For most workgroups there was insufficient evidence to suggest that the Ministry of Health paid male employees any more or less generously than females.  The analysis helped inform the remainder of the Ministry’s review process and helped eliminate potential misinterpretations of the data.

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