Last fortnight’s WGEA gender pay gap data release has left countless brands reeling. Find out how companies can come back swinging after a communications crisis.
International Women’s Day this year came with a dose of uncomfortable (but important) conversations.
A week prior, the Workplace Gender Equality Agency (WGEA) revealed base salary and total remuneration median gender pay gaps for private sector employers in Australia with 100 or more employees.
The data was presented across the following categories:
- equal remuneration
- workforce composition
- flexible work, parental leave and domestic violence support
- workforce composition
- employee consultation
- boards and governing bodies
- sex-based harassment and discrimination
The results show that:
- there is a 30% median gender pay gap between the target range of -5% and +5%.
- more than half of median employer gender pay gaps are over 5% and in favour of men.
- 8% of gender pay gaps are less than -5% and in favour of women.
- Half of all employers have a gender pay gap of over 9.1%.
The revelations come after Labor’s reforms passed Parliament last year and has pushed employer action to progress closing the workplace gender pay gap.
Whilst some insurance and mining companies came out as frontrunners in the data reveal, other financial services, retail and professional services organisations showed otherwise. And publicly.
“81% of consumers say that trusting a brand to do what is right is a significant factor in their purchasing decisions.“
Forbes
Although the findings raise uncomfortable questions within organisations, particularly those that did not rank as well, it’s not all doom and gloom! There’s still time to save face.
Rebuilding a brand after a communications crisis is a challenging yet essential task for companies looking to regain trust and confidence from their stakeholders.
Effective strategies and genuine efforts are crucial in navigating the aftermath of a crisis.
According to Forbes, 81% of consumers say that trusting a brand to do what is right is a significant factor in their purchasing decisions. Rebuilding a brand after a crisis is therefore crucial to regain customer trust and loyalty.
Furthermore, a report by PwC states 65% of CEOs believe that a strong brand reputation is more important than ever in times of crisis. Investing in brand repair can make a company more resilient to future challenges and better equipped to withstand reputational threats.
How to heal after a public relations crisis
1. Acknowledge the crisis and apologize: The first step in rebuilding a brand after a communications crisis is to acknowledge the issue, sincerely apologize and take responsibility. This must be open and genuine in tone.
Transparency and honesty are vital in regaining trust. For example, in 2017, Qantas faced a public relations crisis when one of their planes experienced engine failure.
Alan Joyce, CEO at the time, promptly addressed the issue, apologized to customers, and assured them of the airline’s commitment to safety.
65% of CEOs believe that a strong brand reputation is more important than ever in times of crisis
PwC
2. Implement corrective actions: Companies must demonstrate their commitment to change by implementing corrective actions to prevent similar crises in the future.
For instance, in 2018, Australian banking giant Commonwealth Bank faced a scandal involving money laundering and regulatory breaches.
The bank’s CEO, Matt Comyn, apologized to customers and regulators, initiated a thorough review of its processes, and implemented stricter compliance measures to rebuild trust with stakeholders.
4. Engage with stakeholders: engaging with stakeholders, including customers, employees, investors, and the community, is crucial in rebuilding a brand post-crisis.
Companies should listen to feedback, address concerns, and demonstrate their commitment to improving.
In 2019, Australian fashion retailer Cotton On faced backlash over allegations of unethical labour practices in its supply chain.
Cotton On engaged with stakeholders, conducted audits of its suppliers, and implemented ethical sourcing policies to rebuild its brand reputation.
5. Rebuild brand trust: rebuilding brand trust takes time and consistent effort. Companies should focus on delivering on their promises, maintaining transparency, and communicating their progress.
In 2014, Coles faced a crisis when it was discovered that some of its suppliers were engaging in unethical labour practices.
Coles took immediate action, terminated contracts with non-compliant suppliers, and launched a comprehensive ethical sourcing program to rebuild trust with customers.
“rebuilding brand trust takes time and consistent effort.”
To conclude, rebuilding a brand after a communications crisis requires a strategic approach, genuine efforts, and a commitment to change.
By acknowledging the crisis, apologizing, implementing corrective actions, engaging with stakeholders, and rebuilding brand trust, companies can successfully navigate the aftermath of a crisis and emerge stronger and more resilient.
Does your brand need a rebuild after the WGEA data was released? NSA Communications specializes in developing strong, trusted brands, especially after crisis situations.
NSA Communications can take care of the stakeholder engagement and buy-in process internally.
M: 0405 383 190
Noha Shaheed Ahmed is the Principal and Founder of NSA Communications. A proud, culturally and linguistically diverse (CALD) entrepreneur in Australia, she is an ex-business journalist and communications manager. Her career spans a decade across financial services, NFP, data/insights, technology, green economy, government and more. She is passionate about the ‘why’ in content, and delivering data-driven reporting that skips the marketing jargon and provides useful insights and strategic advice for leaders. Noha is also a Mum of two young children, an avid coffee enthusiast and loves to give back to the community with her services.
NSA Communications 
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