Gender Pay Gap Trends in Australian Law Firms

Australia’s legal professions continues to grapple with persistent gender pay disparities, according to the latest Workplace Gender Equality Agency (WGEA) data for 2023–24.

While some firms have made strides in closing gaps, nearly half of the 62 major law firms with comparable year-over-year data reported worsening median pay disparities, underscoring systemic challenges in achieving equity1.

Gender Pay Gaps

Spruson & Ferguson had one of the biggest GPG increases, with its median base salary jumping from 49.9 to 58.3 per cent. Its median total remuneration GPG also increased from 53.3 to 61.7 per cent.

Managing director of Spruson Simon Potter attributed the jump to historic imbalances, such as women dominating non-fee-earning roles and underrepresentation in STEM-focused patent law positions.

Cornwalls’ median base salary gap surged from 23.6 percent to 49.1 percent, reflecting broader sectoral challenges in retaining women in high-paying roles.

Conversely, firms like Russell Kennedy reduced their median base salary gap from 21.8 percent to 5.7 percent, and total remuneration disparities dropped from 24.8 percent to 8.9 percent.

The firm’s progress in the area resulted from flexible work arrangements, leadership development programs, and achieving 50 percent female representation in principal roles—a major leap from 28 percent in 2017.

Clifford Chance also halved its total remuneration gap to 8.1 percent, crediting initiatives like its Accelerate affinity group, which promotes inclusive cultures1.

Structural Barriers

The WGEA data revealed an average base salary gap of 19.3% across 81 firms, driven by systemic issues such as the overrepresenttion of women in support and administrative roles (half of Jones Days’ staff positions are women) and leadership disparities.

Firms like Macpherson Kelley aim to address these gaps through measurable targets, including 50 percent female principals by 2028 and enhanced parental leave policies. Baker McKenzie highlighted “deliberate measures” to align pay equity, though gaps persist due to role distribution1.

Law Society of NSW president Jennifer Ball emphasized that gender equality remains a “business imperative,” given women comprise half of solicitors practising, a trend common across multiple jurisdictions.

However, critiques of WGEA’s methodology persist. Jones Day noted the data overlooks role-specific pay ranges, while Coleman Greig cited shifting demographics in senior consultant roles as a confounding factor.

The mixed results are evidence – if any is needed – of broader industry collaboration thast will be essential to dismantle entrenched inequities. For now, transparency through reporting remains a critical first step towards levelling that gender gap playing field.