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The Gender Pay Gap: 50 Years Later, the Work Isn’t Done

More than 50 years after Canada ratified the International Labour Organization’s principle of equal pay for work of equal value, women continue to earn significantly less than men.

According to a September 2026 report from the Canadian Centre for Policy Alternatives (CCPA), the gender pay gap has narrowed over time—but remains substantial. In 2025, women earned, on average, 28% less than men annually. Put another way, women would have needed to work an additional 73 days into 2026 to earn what the average man earned during 2025.

The gap is even greater for some groups. Black and Indigenous women, for example, earn close to 40% less annually than non-racialized, non-Indigenous men, highlighting how gender intersects with race and other forms of discrimination in the workplace.

Pay equity is about more than equal pay

The CCPA report emphasizes that pay equity isn't simply about ensuring two people doing the same job receive the same wage. It is about recognizing and correcting the historical undervaluing of work traditionally performed by women.

That means examining how jobs are evaluated and compensated. Skills, effort, responsibility and working conditions need to be assessed without allowing gender stereotypes to influence the value assigned to the work.

The report points to several measures that can strengthen pay equity, including:

• Proactive pay equity plans and regular reviews

• Gender-neutral job evaluation systems

• Greater transparency around wages and compensation

• Regular pay audits

• Meaningful involvement of employees and their representatives

• Strong enforcement and oversight mechanisms

Why unions matter

The report also identifies trade unions as an important part of the solution. Unions can play a role in developing and implementing pay equity plans while also negotiating collective agreement provisions that address broader sources of inequality—such as scheduling, benefits, professional development, discrimination and harassment.

But pay equity doesn't exist in isolation. Child care, caregiving responsibilities, precarious employment, wage inequality and access to good jobs all affect women's lifetime earnings.

The message is clear: closing the gender pay gap requires more than addressing individual wage rates. It requires looking at how work is valued, who has access to good jobs, and the systems that continue to create barriers to economic equality.

After decades of progress, the remaining gap demonstrates that equal pay for work of equal value is still unfinished business.

Source: Katherine Scott, Canadian Centre for Policy Alternatives, “Dismantling gender pay discrimination in Canada: Current trends and policy responses,” September 18, 2026. Read the full CCPA report