For five years, HiBob has been at the coalface of workplace evolution, tracking the lived experiences of women and men across Australia. As we enter 2026, our fifth annual study arrives at a critical juncture for the Australian economy.
This year, we see a workforce that is largely staying put — not necessarily out of a sense of loyalty, but out of a calculated need for security. Yet, within this stability, the glass ceiling appears to be solidifying again. Women in Australia remain exceptionally confident in their professional abilities, but promotions for women have plummeted, work–life balance is worsening, and perceptions of increasing gender pay gaps are circulating.
For HR professionals, this report is an essential roadmap. It highlights how employees — both women and men — are feeling in their jobs right now, and what they really think of the corporate action you’ve taken to improve paths to leadership, address the gender pay gap, and drive effective change in your organisation.
In summary — last year’s report found momentum building. This year’s report finds momentum stalling.
The Confidence–Opportunity Paradox
When we released our 2025 report last year, the narrative was one of surging female confidence. Women felt they were performing at the top of their game, finally matching their male counterparts in self-assurance. But at the time, the reward system wasn’t keeping pace. While women were doing the work, men were still noticeably more likely to be tapped on the shoulder for promotions and pay rises.
In 2026, that gap hasn’t just persisted — it has widened into a chasm. While 96% of women maintain the high level of professional confidence they achieved last year (now actually surpassing men’s self-assessment of 92%), their upward mobility has hit a wall. Only 14% of women received a promotion in 2025, a steep fall from the quarter of women who moved up the year prior. Meanwhile, men continue to climb at nearly double that rate (27%).
Understandably, women are now becoming cynical about moving up the ladder; their expectations for promotions in 2026 have almost halved (17%) compared to their outlook a year ago (30%).
Promotions aside, the broader total reward package is shrinking. Benefits increases for women have seen a sharp decline (from 28% to 17%), suggesting that when budgets tighten, the “extras” that often support female participation (like wellness or childcare support) are the first to go.
There is a slight silver lining, though, in base pay. 58% of women received a salary increase — up from 56% in our last report, but they still lag behind the 68% of men who saw a bump in pay.
The Satisfaction Plateau
A year ago, the mood was optimistic. Most women felt they were finally getting a handle on their work-life balance. There was a sense of “taking back control”, with a majority of women expecting their quality of life to improve as they got better at drawing lines between their professional and personal worlds.
In 2026, that optimism has met the cold reality of a tightening economy. Satisfaction with work-life balance has dipped, and the number of women expecting things to get better has fallen below the halfway mark.
This decline is less about work culture and more about the cost-of-living crunch. Nearly half of women who expect their balance to worsen cite financial pressure as the primary culprit. In the current Australian climate, women are often working longer hours or taking on extra responsibilities just to stay ahead of inflation.
Despite these pressures, women aren’t giving up. Over a quarter of those who do expect an improvement attribute it to their own resilience in setting boundaries. They are working harder to protect their time, even as external demands increase.
Job Hugging Hits Australia
In 2025, a large portion of the female workforce had one foot out the door, ready to jump for better pay or a more supportive culture. There was a sense of mobility and a “grass is greener” mindset.
By 2026, the market has cooled, and women are looking to stay in their current jobs. Amid a growing “job hugging” trend sweeping many countries around the world, significant 69% of women in Australia plan to stay put this year, a major jump from the more restless sentiment we saw twelve months ago (59%). The same is true of men — 67% plan to stay, up from 57% last year.
The number of women that actually quit last year has plummeted too — from 11% to 5%. But make no mistake: this isn’t necessarily a sign of deep-seated loyalty. It’s a survival strategy. Women are staying because it feels safer to hold onto what they have during economic uncertainty.
While they are staying, they are still salary sensitive. More than 70% of women admit they’d move for the right pay increase, and nearly half would jump for better flexible hours. Your talent is staying, but they are poachable by any competitor offering better financial or lifestyle security.
Gender Equality and the Pay Gap
A year ago, there was a sense of cautious hope. Most women believed their employers were genuinely trying to close the gender pay gap, and public reporting was seen as a powerful tool for change. While there was some scepticism, the general feeling was that we were moving in the right direction, and women felt relatively empowered to speak up about fair pay during the recruitment process
In 2026, that hope has evaporated.
The most damning shift is the collapse of trust. Only 35% of women now believe their employer is actively working to address the gender pay gap, a massive drop from 51% just 12 months ago. Even the external “stick” of government regulation is losing its lustre; only 42% of women now believe that public reporting of pay gaps is actually effective in driving change, down from 57% in 2025.
Another concerning issue is salary transparency seems to be going backwards. The number of women reporting a total lack of transparency at their company has nearly doubled from 18% to 33%. When businesses stop talking about pay, women assume the worst — and 25% are now convinced their employer will never prioritise closing the gap.
This lack of transparency is having a chilling effect on how women advocate for themselves. Last year, over half of women felt confident enough to discuss a company’s gender pay gap during a job interview. In 2026, that confidence has dropped to just 37%.
We are seeing a workforce that is becoming quiet not because they are satisfied, but because they feel disempowered. However, one shouldn’t mistake this silence for acceptance. While they are less likely to speak up in an interview, their deal breakers remain firm: 45% of women frequently encounter the belief that the gender pay gap does not exist and 32% of women say they’d decline a job offer if they discovered a significant gender pay gap existed at the company.
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The Path to Leadership Darkens
Last year, women saw the path to the top with relative clarity. There was a strong feeling that companies were finally putting their money where their mouth was, with a visible spike in commitments to developing female leaders and promoting mentorship. For many, the glass ceiling felt like it was finally beginning to crack.
But in 2026, the visible commitment to women in leadership has faded for many. Only 54% of women now see their employer making a real effort to develop female leaders, a big drop from the two thirds who thought the same last year.
As a result, only 69% of women now see a clear path to leadership, down from 72% last year. In stark contrast, men’s confidence in their upward trajectory has reached an all-time high of 81%. This 12-point gap highlights a growing disparity in how the two sexes perceive their future within Australian organisations.
External data reinforces this internal sentiment. The WGEA 2025 Gender Equality Scorecard reveals that while there have been modest improvements in management roles, progress at the very top has stalled. Women still only make up 22% of CEOs in Australia — a figure unchanged for 12 months, and the 2025 CEW Senior Executive Census found that in ASX 300 companies, men still hold 9 out of 10 CEO positions.
Perhaps the most dangerous and damning stat in this HiBob report, though, is that over a third (35%) of women are no longer interested in leadership. They aren’t opting out because they lack ambition or can’t do the job; they’re opting out because they’ve worked out the ROI of their energy. When women see that the gender pay gap actually increases with seniority — with women CEOs in Australia earning $83,493 less on average than their male counterparts in base salary (according to WGEA in 2025), the incentive to climb becomes significantly dampened.
Where This Leaves Australian Businesses
The findings of our 2026 research highlight a pivotal moment for Australian business. We have a workforce of incredibly high-performing, confident and resilient women who are choosing to stay and contribute to their organisations during a time of economic flux. This job hugging trend actually presents a golden opportunity for HR professionals and business leaders.
For the first time in years, the “noise” of high turnover has quieted, providing you with the breathing room to do the deep, meaningful work that builds a legendary culture. By taking action now, you aren’t just checking a compliance box; you’re future-proofing your business.
Australian organisations have a unique chance to lead the world in workplace equity. By embracing pay transparency, you can rebuild trust that has wavered. By formalising sponsorship programs, you can reignite the leadership ambitions of the 35% of women currently feeling sidelined. And by protecting flexible and hybrid models, you can support the 96% of high-performing women who are already doing great work.
The goal isn’t just to close a gap — it’s to unlock the full potential of your greatest asset. When women feel seen, fairly compensated, and clearly supported in their journey to leadership, the entire business thrives. You have a stable, talented workforce ready to grow with you. Let’s use this year of stability to build the inclusive, forward-thinking Australian workplace we all know is possible.
Methodology
Our findings in this report are based on a survey of a thousand men and a thousand women working in Australian workplaces, conducted in January 2026. The survey was carried out by global research company Pollfish, which applies a vast system of quality checks to discount survey fraud and bots, ensuring data integrity and quality.
From Natalie Homer
Natalie is a B2B PR and corporate communications expert specialising in running global press offices. A lifelong lover of black and white films, thrift shopping, and anything with four legs, she balances vintage charm with a strong sense of purpose. In her spare time she is a secondary school governor in London, proud to give back to the community where both she and her daughter grew up and were educated. Whether championing education or rescuing retro finds, she brings heart, humour, and a love for the details in everything she does.