Amendments to the Workplace Gender Equality Act 2012 (Cth), introduced through the Workplace Gender Equality Amendment (Setting Gender Equality Targets) Act 2025 (Cth), will introduce mandatory gender equality target-setting requirements for large employers from 2026. These reforms mark a significant shift in Australia’s workplace gender equality framework by placing greater emphasis on measurable outcomes and organisational accountability.
Under the amendments, employers with 500 or more employees, known as designated relevant employers (DREs), must select and report on three measurable gender equality targets over a three-year period. These targets must be included in the organisation’s annual Gender Equality Report submitted to the Workplace Gender Equality Agency (WGEA).
The new obligations introduces a requirement for large employers to demonstrate progress through clearly defined targets and measurable outcomes.
The framework will apply from the 2026 reporting cycle. Reporting periods for private sector DREs will run from 1 April to 31 May 2026, while Commonwealth public sector DREs will report from 1 September to 31 October 2026. During these reporting windows, large employers must submit their annual workforce data and identify the gender equality targets they intend to pursue over the next three years. Organisations must also report on progress against these targets in subsequent reporting cycles.
At least one of the selected targets must be a numeric goal. Numeric targets are designed to drive measurable improvements in workplace gender equality and may address key indicators such as reducing the gender pay gap or increasing the representation of women in leadership roles. For example, an organisation may set a target to reduce its gender pay gap by a specified percentage or increase the proportion of women in senior management positions over the reporting period.
Employers may also select action-based targets, which involve introducing new workplace initiatives that are not already in place within the organisation. These may include implementing employer-funded parental leave, strengthening recruitment practices to improve gender balance, or introducing policies that support flexible working arrangements. Allowing both outcome-based and initiative-based targets encourages employers to adopt practical strategies that support long-term improvements in workplace gender equality.
Targets must be meaningful and measurable, reflecting genuine opportunities for improvement within the organisation’s workforce and structure. Employers may also select multiple targets from the same Gender Equality Indicator where appropriate. This flexibility recognises that different industries and organisations may face different gender equality challenges while still requiring measurable progress.
The amendments also introduce stronger accountability measures. Employers that fail to set targets, or fail to demonstrate progress without a reasonable excuse, may face regulatory and reputational consequences. WGEA may publicly identify organisations that do not comply with the requirements, which can affect their reputation and public standing.
In addition, WGEA may withhold a certificate of compliance from organisations that fail to meet their obligations. This certificate is often required for organisations seeking to tender for, or maintain eligibility for, Australian Government contracts and certain government funding opportunities.
While the mandatory target-setting requirements apply to employers with 500 or more employees, smaller organisations remain part of the WGEA reporting scheme. Employers with 100 to 499 employees are not required to set formal targets but are encouraged to adopt voluntary measures that promote gender equality in the workplace.
The introduction of mandatory targets reflects a shift in Australia’s regulatory approach to workplace gender equality. Rather than focusing solely on workforce reporting, the framework now requires large employers to actively work towards improving gender equality outcomes through structured targets and workplace initiatives.
Our employment law team provides guidance to organisations on WGEA reporting obligations, gender equality compliance, and workplace policy development. We assist employers in preparing for the 2026 reporting cycle and developing strategies to meet the new requirements under the Workplace Gender Equality Act. Employers seeking tailored advice on navigating these changes are encouraged to contact our team for expert support.