Gender diversity slow on boards
Women held 18.1 per cent of the board seats at Australia's top 100 listed companies, an ACSI-commissioned study of companies that reported in the 2012 calendar year found. But more than half the top 100 to 200 listed firms did not have have any female directors, and the pace of female appointments in the top 100 companies slowed on the previous year.
More recent figures from the Australian Institute of Company Directors show women comprised 16.2 per cent of directors on ASX 200 boards by September 12 - but almost one-quarter of the companies still did not have any women.
And 25 women had been appointed to ASX 200 boards from July, comprising 22 per cent of all new appointments, the institute said.
ACSI chief executive Ann Byrne said the top 100 listed companies were "looking beyond the 'usual suspects' and making appointments from a more diverse pool of candidates".
"In 2012, women finally broke the '100 in the 100' barrier - there are now 105 women, occupying 144 roles, on the boards of Australia's top 100 companies," she said, adding there was "clearly still work to be done" on gender diversity.
Sylvia Falzon, appointed last year to the Perpetual board, said Ms Byrne's comments rang true.
"The real benefit of having conversations [about gender diversity] is it's allowed boards to think about what they want to achieve and what skills are needed," Ms Falzon said.
The report follows a push several years ago by the Australian Institute of Company Directors and the ASX to boost the percentage of women as ASX 200 company directors from 8.3 per cent. ACSI wants top 200 listed companies to have two female board members by March 2014.
Frequently Asked Questions about this Article…
Gender diversity on Australian boards has improved but remains limited. An ACSI-commissioned study found women held 18.1% of board seats at Australia’s top 100 listed companies in 2012, while the Australian Institute of Company Directors reported women comprised 16.2% of directors on ASX 200 boards by September. The top 100 now have 105 women occupying 144 roles, but progress is uneven.
According to AICD figures cited in the article, almost one-quarter of ASX 200 companies still had no women directors. The ACSI study also found more than half of the firms in the top 100–200 group reported no female directors.
There has been some recent movement: 25 women were appointed to ASX 200 boards from July, making up 22% of all new appointments. However, the pace of female appointments in the top 100 companies slowed compared with the previous year.
ACSI has set a specific target: it wants the top 200 listed companies to have two female board members by March 2014. The article also notes past efforts by the Australian Institute of Company Directors and the ASX to raise female director representation from earlier levels (for example, 8.3%).
ACSI chief executive Ann Byrne said top 100 companies are increasingly recruiting from a broader talent pool rather than relying on the same small group of candidates. That shift reflects attempts to find a wider range of skills and perspectives when making board appointments.
'100 in the 100' referred to having at least 100 individual women on the boards of Australia’s top 100 companies. In 2012 that barrier was broken—there are now 105 women occupying 144 director roles on those boards. For investors, milestones like this are a visible indicator of progress on board gender diversity and corporate governance trends.
Bodies such as the Australian Council of Superannuation Investors (ACSI) advise superannuation funds on company responsibilities, including governance issues like board composition. Everyday investors and funds can use board gender diversity data as part of their assessment of corporate governance and board effectiveness.
Sylvia Falzon, appointed last year to the Perpetual board, said conversations about gender diversity help boards clarify what they want to achieve and what skills are needed. That perspective suggests diversity discussions can lead to more deliberate and skills-focused director appointments.
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