Key Takeaways

This guide is brought to you by Sanlam to help you understand the gender pay gap in South Africa, prepare for salary conversations, and plan around your income.

What Is the Gender Pay Gap, and Is It Real?

The gender pay gap is the difference between what women and men earn on average across a group. It looks at overall patterns, not one specific job. This means a national figure cannot prove that every woman earns less than a man doing the exact same work.

The size of the gap can change depending on how it is measured. A National Business Initiative paper, using World Economic Forum data, found that South African women may earn 23% to 35% less than men on average. This is roughly R72.44 for every R100 earned by men. SA-TIED research with the National Treasury found that women earned 78 cents for every rand earned by men in 2021, compared with 89 cents in 2008.

Why Is There a Gender Pay Gap?

There is no single reason for the gender pay gap. It can be linked to several workplace and economic factors:

Research from Just Share suggests that a substantial part of the gap relates to women being more likely to work at lower-paying firms or in lower-paying sectors. That does not make the outcome inevitable, and it does not mean an individual’s career path is fixed. It does highlight why transparent pay practices and fair opportunities matter.

What Does the Law Say, and Why Does Wage Transparency Matter?

South African law offers important protection against unfair pay differences. The Employment Equity Act and its Code of Good Practice support equal pay for work of equal value.

This can apply when people do the same job, very similar work, or different jobs that have equal value. However, working out whether two roles have equal value is not always simple. Employers may look at factors such as the level of responsibility, skills needed, effort involved and working conditions.

A 2025 CCMA information sheet explains that it may be unfair discrimination if employees working for the same employer are paid differently for the same work, similar work, or work of equal value because of gender or another protected reason.

Wage transparency means having clearer information about how salary ranges are set and how pay increases are decided. This can help employees prepare for informed pay discussions using objective information.

South African employers are not required to publish their gender pay-gap figures. However, certain designated employers must submit an income differential statement under section 27 of the Employment Equity Act.

Important: This is general information, not legal advice. If you have a personal pay concern, consider speaking to a qualified labour-law professional.

How Can You Prepare for a Salary Negotiation?

Negotiating a higher salary is not about making a demand without preparation. It is a conversation about the value of your role, your contribution and the market context.

You may want to begin by gathering clear, factual information:

Keep the conversation specific and professional. You could ask how pay ranges are set, what factors influence increases, and what goals or skills may be considered for future progression. If an increase is not possible immediately, you may want to ask for a timeline for review and the criteria that would be used.

Risk warning: There is no guaranteed outcome. An employer may have budget limits, formal pay bands or business conditions that affect the discussion. Even so, preparation can give you a clearer view of your position and the choices available to you.

How Can You Budget on an Unequal Income?

A lower or uncertain income can make financial planning harder. A simple financial check can help you see where your money goes and create a starting point for your budget.

List your monthly take-home pay, essential costs, flexible spending, savings and debt repayments. This can show what is already committed and where you may make changes. Many people choose to focus first on essential household costs, urgent or expensive debt, and any small amount you could set aside for emergencies or future goals. It may also help to set up an emergency fund to ensure you are covered for unexpected expenses.

Where possible, consider these three questions:

Savings can help with unexpected costs, while credit can spread payments over time but also adds interest and fees. Before taking on credit, compare the full cost, not only the monthly instalment. Checking your credit report can also help you understand your credit position and spot possible errors.

If you are looking for practical strategies to find ways to save, even on a stretched monthly budget, why not watch the latest On24 webinar.

Next Steps

This is for general information and education only and does not constitute financial advice. For personal recommendations, speak to a licensed financial adviser.