New figures show home support workers across Aotearoa have lost tens of thousands of dollars in potential earnings, highlighting the ongoing impact of stalled pay equity progress.

Analysis released this week indicates workers in the sector are now worse off by an average of $27,728 each over the past year, as pay equity claims remain unresolved and wage growth has failed to keep pace.

The figures relate to the care and support workforce, a sector made up largely of women and historically identified as being underpaid compared to work of similar value in male-dominated industries. Around 65,000 workers were covered by earlier pay equity arrangements introduced in 2017 following a landmark legal case that addressed systemic gender-based pay disparities.

That settlement delivered wage increases at the time, but it expired in 2022, requiring a new agreement to maintain pay relativity. Since then, progress on new claims has stalled, and recent legislative changes have reset or cancelled a number of existing pay equity claims, affecting thousands of workers across the care sector.

The impact is being felt across home support, aged care, disability services, and community health, where workers continue to face rising living costs without corresponding wage increases. The loss of earnings is compounding financial pressure on a workforce already considered essential to New Zealand’s health and social support systems.

The issue also raises broader concerns about workforce sustainability, as providers struggle to recruit and retain staff in a sector already under strain from an ageing population and increasing demand for services.

The growing gap between expected pay equity outcomes and current earnings is now intensifying debate around government policy, funding priorities, and the future of pay equity in New Zealand.

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