Men retain boardroom grip

New Zealand’s publicly listed companies have made no headway getting more women on their boards and continue to lag internationally when it comes to gender diversity.

NZX figures show that last year only 17 per cent of directors were female, a proportion that was unchanged from 2015.

The actual number of female directors went down, from 127 in 2015 to 125 in 2016.

In comparison, female directors on Australia’s ASX 200 increased from 21.5 per cent in 2015 to 24.5 per cent last year. That meant Australia leapfrogged the United States’ S&P 100, where the proportion of female directors went up from 22.3 per cent to 23.3 per cent over the same period.

The Institute of Directors is urging listed companies to aim for a 30 per cent to 50 per cent mix of female directors.

Felicity Caird, manager of the institute’s governance leadership centre, said that while it took time for things to change, it was a shock to see no progress in the New Zealand stock exchange’s numbers over a year.

The institute had long believed that diversity of thought improved business performance, she said.

‘‘The dividend that diversity pays is bringing different perspectives and more robust decisionmaking, effective risk management and better company performance.’’

The institute had various diversity initiatives and released a guide last year that provided advice on practical steps to help boards achieve diversity.

Caird said it was important to have a diverse talent pipeline at senior management levels.

‘‘It is not realistic to ask the question ‘Why aren’t there more women on boards?’ without asking where the female chief executives and senior managers are being developed.’’

It seems to be a different story in New Zealand’s public service. Minister for Women Paula Bennett said more than 45 per cent of public service senior leadership roles were now held by women.

On boards, 43 per cent of roles were held by women.

Bennett said the State Services Commission asked public service organisations to report their gender pay gaps and include information on the steps they are taking to address them in their four-year strategic plans.

‘‘Employers must address the barriers that prevent women from advancing their careers, and ensure women are fully valued for the work they do,’’ she said.