Employers encouraged to offer free course for women on money skills

Retirement Commissioner Jane Wrightson says women view money differently to men. Photo / File

Employers are being encouraged to offer a new course designed to help women do better with their finances.

Sorted Women has been launched by the Government's money education arm, the Commission for Financial Capability, in time for International Women's Day today.

Jane Wrightson, head of CFFC and the Retirement Commissioner, said Covid-19 had thrown into stark relief the need for a money course designed for women, by women.

"Our research shows that women have suffered the most from job loss during the pandemic, which comes on top of other economic disadvantages they suffer throughout their working life," she said.

The gender pay gap is around 9.5 per cent, while women are also more likely to take time out of the workforce to care for family, meaning they typically have less saved for retirement.

Wrightson said its research showed women were less aware of their KiwiSaver fund, less confident at investing and fewer women sought financial advice.

"We know that 40 per cent of women feel financial professionals treat women differently. The financial professionals may go 'that is complete nonsense' but the fact is it is how women feel - so you have to start breaking down some of these barriers."

The course can either be run as a two-hour workshop or two-day course and will cover the unique situations women face and strategies to overcome them, ways for women to improve their financial wellbeing and get ahead financially, how to talk about money and investing basics.

Wrightson said women often relied on others too much when it came to money or sacrificed too much for others.

"We are talking about partners and husbands here, or parents. Some women think that not relying on them is a negative judge of their character. It is not true. It is just that you need some independence in this space because people have accidents, get sick and to acknowledge the person you are relying on may not always be there or available or have capacity means you are just planning properly."

She said research also showed it was women that tended to lend money to their partners or children, guarantee mortgages or offer free labour without taking time to educate themselves.

"Women can be generous and the message is ... time poverty is quite a clear factor in women's financial literacy - because women are stretched generally speaking and some of the time poverty is self-inflicted. Volunteering to do stuff and not sparing time for yourself."

That was part of the reason it was offering shorter two-hour versions of the course.

Wrightson said the pilot programme would run for this year and then be assessed to see how many took it up and which employers offered it.

If successful, it would also look at ways to expand it to women outside the workforce.

Wrightson said women often viewed money differently from men.

"For us, it's as much about providing for our loved ones as building a nest egg. This course tackles financial inequality head-on and helps empower women to achieve their goals, including planning for the retirement they deserve."