Sharp fall in gender pay gap lifts Ireland to 11th place among OECD economies.
Ireland has posted the largest improvement in PwC’s latest Women in Work Index, rising six places to 11th among 33 OECD countries in the consultancy’s 2026 edition.
The advance reflects a marked narrowing of the gender pay gap, which has become the dominant force behind Ireland’s stronger showing.
“Improvements in the gender pay gap enhance the organisation all round, creating a fair and inclusive workplace where everyone thrives”
PwC’s index, now in its 15th year, assesses women’s progress in the labour market across five measures covering pay, participation, unemployment and access to full time work.
While Ireland’s position has strengthened, the overall picture across the OECD is more restrained, with progress slowing to its weakest pace since the pandemic as female unemployment rises and full time roles for women decline.
Ireland’s gender pay gap, measured by Eurostat using median earnings, tightened from 11.8% to 8%. The country now outperforms the OECD average of 12.4%, suggesting faster movement toward pay parity than many comparable economies.
Closing the gender pay gap
Gerard McDonough, partner in PwC Ireland’s Workforce Advisory practice, said the results reflect “a positive movement in the gender pay gap”.
He added that the trend seen in Eurostat data aligns with patterns in the Central Statistics Office’s most recent reporting.
“Improvements in the gender pay gap enhance the organisation all round, creating a fair and inclusive workplace where everyone thrives. This can boost a company’s attractiveness to talent, improve morale, productivity and retention and ensure that diverse viewpoints are factored into decision making across all levels in the organisation,” he said.
The broader OECD findings show women are returning to work in greater numbers, influenced in part by cost of living pressures, yet the quality of roles has deteriorated. Labour demand has softened amid a global economic slowdown, pushing up unemployment rates for women and reducing opportunities for full time work.
Iceland remains the leading performer in the index, followed by Luxembourg, New Zealand, Sweden and Slovenia. The United Kingdom sits mid table in 17th place. Australia, which ranked 19th in 2020, has climbed to 10th.
Countries at the top of the rankings typically combine generous parental leave frameworks with accessible childcare systems. According to PwC, these conditions help women stay engaged in the labour market and allow progression into senior roles.
Doone O’Doherty, people partner and workforce tax partner at PwC Ireland, said that long term competitiveness will depend on sustained investment in education and skills.
“The countries that succeed will be those that invest in strong foundations in education and continued skills development. Employers have a crucial role in creating clear pathways into work and helping their people continue to learn and adapt. Improving in the Women in Work Index is not only a social imperative, it is an economic one, with billions in potential GDP at stake,” she said.
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