New reforms will make gender equality targets mandatory for some employers. How can organisations lay the groundwork to meet the new requirements?

Starting next year, Australian employers with 500 or more employees will be required to select and work towards specific gender equality targets, following recent amendments to the Workplace Gender Equality Act 2012.

Announced last week, the reforms impact close to 2000 employers, who will have to choose three targets from a set list that includes both numerical goals and action-based initiatives, according to the Workplace Gender Equality Agency (WGEA). 

“The targets relate to matters such as gender composition of the workforce, equal remuneration, flexible working arrangements and eliminating sexual harassment,” says Lauren Brouwer‑French​​​​, Senior Associate and Team Leader at Harmers Workplace Lawyers.

Employers will have three years to meet or make meaningful progress on each of their targets.

The change is part of WGEA’s broader strategy to address pay inequity, building on the compulsory publication of gender pay gaps, which commenced last year for most employers.

According to WGEA CEO Mary Wooldridge, the introduction of target-setting requirements aims to turn awareness into meaningful action.

“Employers indicate that even when they are aware they have a significant gender pay gap, many haven’t taken action to reduce it,” she said in a statement.

“Targets are specific, time-bound and measurable objectives that set a benchmark for employers to work towards. The evidence available shows they are effective in driving real change.”

What do we know so far about the requirements?

For many employers, these mandates will simply formalise work that’s already underway. WGEA reports that over half of employers covered by the reforms are already setting gender equality targets, and around a third have set three or more. 

For these employers, adapting to the new requirements will mean ensuring their existing targets are aligned with WGEA’s list.

“They will still need to actively select three targets from the designated ‘target menu’ at the start of the applicable cycle when lodging their public report to WGEA,” says Brouwer‑French.

“Employers will not be allowed to change or abandon targets once they have been set.” – Lauren Brouwer‑French​​​​, Senior Associate and Team Leader at Harmers Workplace Lawyers

According to WGEA, the menu will be set via a legislative instrument in coming weeks and made public shortly afterwards.

“The targets are either numerical – for example, a target that requires an employer to reduce or increase a percentage point – or action-based, [such as] a target that requires implementation or improvement of a policy,” says Brouwer‑French. “At least one of the three targets selected by employers must be numerical.”

Employers who fail to select or make progress on their targets within three years risk being publicly named by WGEA.

“Non-compliant employers will [also] not receive a certificate of compliance,” she says. “Whether an employer has this certificate is considered by the Australian government when assessing an employer’s eligibility to contract with it.”

Getting ahead of the changes

Employers covered by these reforms have around a year to get to grips with the changes and decide which gender equality targets they will set. 

Private sector employers will choose their targets during the 2025-26 gender equality reporting period, between 1 April and 31 May 2026. Public sector employers will do the same from 1 September to 31 October 2026. 

“The data provided to WGEA by an employer in the year before the commencement of a new [three-year] cycle will be used as the ‘baseline’ to measure progress,” explains Brouwer‑French.

“In preparation for selecting targets in 2026, WGEA is encouraging employers to undertake a comprehensive gender pay gap analysis to identify the unique drivers of specific gender imbalance in their workplace, and therefore which targets are best suited for the specific employer.”

The targets vary in complexity, and it’s crucial to ensure your chosen goals are realistic and achievable within the given timeframe, she says.

“Employers will not be allowed to change or abandon targets once they have been set.”

The next 12 months represent a valuable window for HR and leaders to evaluate workplace structures and set a clear course of action, she says. She advises employers covered by the changes to make use of WGEA’s public resources, including action planning tools and regular learning events. 

Taking these steps now will help position large organisations to adapt smoothly to the new requirements and ensure meaningful results.

All information, content and materials available on this site are for general informational purposes only. The contents of this article do not constitute legal advice and should not be relied upon as such.

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