Women’s History Month: The Importance of Pay Equity
4-minute read
March opens our Women's History Month series, and we're beginning with the issue that sits at the center of every conversation about workplace equity: pay. Each week, we'll explore a different dimension of what it takes to build workplaces where all women can thrive. This week, we're starting with why a pay equity audit may be one of the most strategic moves an employer can make right now.
The Gender Pay Gap Is Moving in the Wrong Direction
For the first time since the 1960s, the gender wage gap widened two years in a row. In 2024, women working full-time earned 80.9 cents for every dollar men earned — down from 84 cents in 2022. Men's earnings rose; women's stayed flat. This is a reversal of decades of progress, and experts warn the gap will continue to widen as DEI programs are cut, working mothers exit the workforce at record rates, and return-to-office mandates push women out of higher-paying roles.
That 80.9 cents reflects the overall gap between women and men. But when we break it down by race, identity, and disability status, the gaps are significantly wider — and the dates women reach pay parity with white men stretch further and further into the year.
Here's what Equal Pay Day looks like in 2026:
Asian American women: 96 cents — Equal Pay Day falls earliest in the year
White women: 77 cents — Equal Pay Day: March 26, 2026
Black women: 65 cents — Equal Pay Day falls in the summer
Transgender women: 60 cents for every dollar the typical U.S. worker earns
Latinas: 58 cents — Equal Pay Day falls in the fall
Native and Indigenous women: 52 cents — Equal Pay Day: November 30, 2026
Disabled women: 50 cents — Equal Pay Day extends into the following year
If nothing changes, Asian women are projected to close the gap in 23 years. White women in 43 years. Black women in 121 years. Latinas in 187 years.
A woman of color who is also disabled doesn't experience two separate wage gaps — she experiences one compounded gap shaped by race, gender, and disability simultaneously. For every dollar paid to a white nondisabled man, disabled Latinas earn 44 cents, Black disabled women earn 45 cents, and American Indian and Alaska Native disabled women earn 45 cents. We still lack complete federal data on LGBTQ+ pay gaps because the U.S. Census Bureau doesn't collect it yet. But research from the HRC Foundation shows that gaps widen at every intersection of race and gender identity. The absence of data does not mean the absence of harm.
What Employers Can Do Right Now
Pay equity is a great way to show your employees you believe in fair workplaces, and it's also a solid business strategy. Organizations that invest in transparent compensation systems see stronger retention, higher engagement, and more trust from employees, boards, and funders. Candidates increasingly expect pay transparency. And with all 50 states now prohibiting pay discrimination — and many requiring salary transparency — employers who ignore pay equity face growing compliance and reputational risk.
Recent research shows 77% of senior leaders report conducting pay equity analyses. But when those reports are reviewed, 35% lack complete pay data, 59% lack demographic data, and another 59% lack employee self-identification data. Many organizations are running analyses on incomplete datasets. The result is false confidence — leaders believe they're equitable because the analysis didn't reveal major gaps, when, in reality, the gaps are hidden.
A thoughtful pay audit can reveal disparities between people in comparable roles, patterns in who receives raises and promotions, starting salary gaps that compound over time, and job requirements that unintentionally limit access. For nonprofits, ESOPs, and small businesses built with equity in mind, this isn't compliance work. It's a retention strategy, a recruiting advantage, and a governance expectation.
Parity HR helps organizations move from checking the box to creating real, measurable change. We build the data infrastructure needed for meaningful pay equity work, conduct intersectional analyses that go beyond gender alone, identify root causes of inequities, and design compensation systems that are transparent, defensible, and aligned with your values. We support communication with employees and boards, and equip your leaders to sustain equity over time.
Women's History Month is the right moment to begin. The impact lasts far beyond March.
Interested in getting your pay equity right? Schedule a meeting with us here: https://app.shrlock.com/scheduler/df424d33-introduction-to-parity-hr-with-vanessa-martinez
Sources: AAUW Equal Pay Day Calendar 2026 | National Partnership for Women & Families, Disabled Women and the Wage Gap (2024) | HRC Foundation, The Wage Gap Among LGBTQ+ Workers in the United States | Institute for Women's Policy Research, National Annual Women's Wage Gap Analysis (2025) | U.S. Census Bureau | National Women's Law Center