CUMMINS

GENDER
EQUALITY
REPORT
Australia 2023
Cummins At Cummins, Diversity,
Equity and Inclusion are a
Gender Business Imperative
EQUALITY Cummins strives to create inclusive environments in

Report our communities and workplaces where employees

feel comfortable bringing their whole selves to work.
We believe a diverse workforce fuels innovation and

Australia 2023 makes our company stronger and our communities

more vibrant. Having diverse, equitable and inclusive
workplaces enables Cummins to attract and retain
a truly global workforce that brings together diverse
perspectives, insights, and skills to solve the
challenges of today and tomorrow.

At Cummins we are focused on a number of strategic

initiatives to increase the representation of women in our
business at all levels. Our efforts reach further than just
within the company as we continue to work with our
local community partners to encourage women to pursue
careers in manufacturing, technology and engineering.

Gender Pay Gap is one of a number of ways to measure

our progress. Employer Gender Pay Gaps consider pay
equality, as well as how successful organisations are in
attracting, retaining and promoting women equally at all
CONTENTS levels. We welcome the Australian Workplace Gender
Equality Agency’s (WGEA) publication of Gender Pay Gaps
3 Understanding the Gender Pay Gap as a key measure of progress to inform more effective
strategies and actions to advance gender equality in the
4 Cummins in Australia workplace and our communities.
2023 Gender Pay Gap Results
Everyone at Cummins has a role to play in achieving
6 Gender Equality our Diversity, Equity and Inclusion vision. As part of
A Broader Perspective this commitment, we are taking proactive measures to
8 Changing Mindsets review talent management and accountability systems
Cultivating Diversity at Cummins and processes to mitigate bias and ensure the equitable
acquisition and advancement of all talent.
10 Tackling the Talent Pipeline
This report reflects our continued commitment and
12 Employee Stories highlights some of the programs we have underway
in Australia.
14 Our Commitment

Peter Jensen-Muir
Executive Managing Director,
Cummins Asia Pacific

2 2023 Gender EQUALITY Report | Cummins Asia Pacific

Understanding
the Gender Pay Gap
The Gender Pay Gap is a measure which shows the percentage difference in the median earnings of
women and men at the mid-point. The gender pay gap is influenced by a number of factors, including
the distribution of men and women at different levels within a company.

Significance and Application Median Gender Pay Gap

The Gender Pay Gap is a useful proxy for measuring Understanding the median is pivotal in
and tracking gender equality on a national, industrial, comprehending the Gender Pay Gap. The median is
and organisational scale. Closing the Gender Pay the number that falls into the middle when everyone’s
Gap is important for Australia’s economic future and wages are lined up from smallest to largest. The
reflects our aspiration to foster an equitable and fair median pay gap is the percentage difference in the
society for all. median earnings of women and men. This metric
provides a perspective on the distribution of earnings
Distinguishing from Equal Pay within an organisation.

Equal pay is ensuring that men and women are paid

the same amount for work of equal or comparable
value. Cummins is committed to equal pay; we apply
the same processes and decisions relating to pay
and benefits regardless of gender. An organisation
can have equal pay and still have a Gender Pay Gap.
If there are more men than women in senior roles,
and similar numbers of men and women in less
senior roles then this will result in a Gender Pay Gap,
even when both genders are paid the same for the
same role.

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Cummins in Australia
2023 Gender Pay Gap Results
Overview
Cummins South Pacific Pty Ltd presents its 2023 Gender Pay Gap below along with those of our industry
comparison group:

Measure Cummins South Pacific Pty Ltd Manufacturing Industry

Number of Employees 1648 1000-4999

Median Base Salary Pay Gap 18.3% 14.3%

Median Total Remuneration Pay Gap 29.2% 18.9%

Definitions
Base Salary Pay Gap:
The base salary pay gap is the
percentage difference in the median
regular salaries of men and women,
excluding superannuation, overtime,
bonuses, and other additional
allowances and payments.

Total Remuneration Pay Gap:

The total remuneration pay gap is the
percentage difference in the median
earnings of men and women, including
all forms of compensation, including
base salary, superannuation, overtime,
bonuses, and other additional payments.

Full-Time Equivalent:
Part-time and casual employees’ salaries
and remuneration are converted into
annualized full-time equivalents.

Continued ...

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Cummins in Australia
2023 Gender Pay Gap Results
Continued ...

Commentary
Our median base salary gender pay gap decreased from the prior reporting period, reflecting our commitment
to addressing gender equality and representation in our Australian business. The results indicate a higher
proportion of men with higher salaries, along with a higher total remuneration gap between men and women.

For the current reporting period versus the prior year, we have reduced the median base salary Gender Pay
Gap by seventy basis points from 19.0% to 18.3%. The median total remuneration gap increased by fifty basis
points from 28.7% to 29.2% reflecting the distribution of representation within the company and the impact of
allowances, bonuses, overtime and superannuation.

In relation to our focus areas, we have made noteworthy progress from which to build and
accelerate our female representation which in turn will help reduce the median Gender Pay Gap.
This progress includes:

n Overall Australian female gender representation has increased 680 basis points from 15% to
21.8% over the past five years.
n Female apprentice intake has grown from 10.4% to 31% over the past three years and 35%
female representation in 2024.
n Our governing body (Cummins South Pacific Pty Ltd) directors consists of 60% female and
40% male members.
n Our executive leadership team is 46% female and 54% male.

Having diverse, equitable and inclusive workplaces enables Cummins

to attract and retain a truly global workforce that brings together
diverse perspectives, insights, and skills to solve the challenges of
today and tomorrow. Transparently reporting our median Gender Pay
Gap data, as we have done in this report, serves as another example
of our commitment to advancing inclusive gender equality.

Positive Gender Pay Gap

A positive gender pay gap signifies that, at an organisational level,
the median pay for men is greater than that of women. Factors
contributing to the observed Gender Pay Gap include variables
such as longer tenure for men leading to higher salaries, a greater
representation of men in higher-paying roles, increased overtime
in hourly paid (non-salaried) positions, and a higher proportion
of men in remote or fly-in fly-out roles. Addressing these factors
remains a focal point of our ongoing commitment to gender
equality in the workplace.

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Gender Equality
A Broader Perspective
Our Ongoing Commitment
At Cummins, our dedication to values, particularly
those centered around diversity, equity, and inclusion,
serves as the cornerstone of our success. Aligned
with these values, we are committed to fostering an
inclusive environment that propels the professional
growth of all employees, ensuring they are inspired to
reach their full potential.

Gender Equality – The Wider Issue

Beyond our organisational boundaries, Cummins has
a role in advocating for greater accountability across
our various stakeholders. We extend our commitment
to influencing positive change in government policies,
communities, industry partners, suppliers, customers,
and ensuring accountability within our own operations.

Cummins Supplier Diversity Program

As part of our endeavor to “Power a More Prosperous
World, One Diverse Business at a Time,” our Supplier
Diversity Program focuses on enhancing the diversity
of our supply base, particularly through partnering
with women-owned companies. Whilst we have much
more to do, we are proud that our efforts to deliver
high quality products and services through a diverse
supply base has resulted in a 200% growth in spend,
increasing the percentage of indirect purchasing with
women-owned enterprises to 12% in Australia.

Total Total
Women-Owned Women-Owned
Year
Purchases Purchases
(Million AUD) (%)

2019 4.5 6.6%

2020 5.2 8.5%

2021 6.1 7.3%

2022 8.3 9.0%

2023 11.5 12.3%

Continued ...

6 2023 Gender EQUALITY Report | Cummins Asia Pacific

Gender Equality
A Broader Perspective Continued ...

Case Study:
Champions of Change Coalition
As a member of the Champions of Change Coalition, Cummins actively engages in identifying
and sharing practical actions to improve gender equality. Emphasising a Listen, Learn, and Lead
approach, this coalition strives to accelerate change by understanding facts, relevant research, and
effective strategies. By employing measurable objectives and
continuous assessment, Cummins contributes to the Coalition’s
commitment to driving tangible outcomes in gender equality
across organisations and society.

Case Study:
Cummins Powers Women
Cummins strategic initiative, Cummins Powers Women, was launched 5 years ago that seeks to
develop solutions to gender inequality in our communities by partnering with non-profit organisations
to accelerate the advancement of women and girls. We collaborate with non-profit organisations such
as the National Aboriginal Sporting Chance Academy (NASCA), CARE Australia, and Global Rights for
Women. Through intentional actions and best practices, this initiative accelerates progress towards
creating diverse, equitable, and inclusive communities and workplaces. NASCA’s Pathways Program,
focusing on young First Nations women, achieved a remarkable 95% graduation rate in 2023,
showcasing the transformative impact of education on socio-economic status.

In the spirit of reconciliation, Cummins acknowledges the Traditional Custodians of country throughout
Australia and recognises their continuing connection to land, sea and community. We pay our respects
to Elders past and present and their cultures; and extend that respect to all Aboriginal and Torres Strait
Islander peoples.

7 2023 Gender EQUALITY Report | Cummins Asia Pacific

Changing Mindsets
Cultivating Diversity
at Cummins
At Cummins, our commitment to diversity is
driven by employee-led initiatives that significantly
contribute to shaping both the profile and
outcomes of our diversity mission. The Women’s
Empowerment Network (WEN), an employee
resource group, stands as a cornerstone, fostering
inclusiveness, diversity, and personal development.

Women’s Empowerment
Network Initiatives
The Asia Pacific (APAC) Women’s Empowerment
Network unites diverse backgrounds to promote
equity and inclusion for women in our workforce.
With 180 members, the focus includes:

Innovation: Elevating underrepresented talent in

critical initiatives.

Personal Development: Empowering diverse talent

for career growth.

Community Engagement: Supporting strategic

initiatives such as International Women’s Day.

Allyship: Building a network of allies through

education on bias and sexism.

In 2023, the network launched the ‘Business

Acuwomen’ initiative, focused on demystifying
Cummins’ roles, and empowering women to broaden
career aspirations and develop their strengths. This
program saw senior leaders provide insights into
functional areas for 400 employee attendees.

Continued ...

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Changing Mindsets
Cultivating Diversity
at Cummins Continued ...

Leadership Development and Global Gender Equity Council

Recruitment Practices
In 2020, Cummins established the Global Gender
We maintain a steadfast commitment to achieving a Equity Council, a diverse group of members
50-50 balance on our core leadership development worldwide, including Australia. Strategically focused
courses within Cummins. In pursuit of increasing the on “Winning with the Power of Difference,” the
number of females in senior leadership positions, council acknowledges the need to comprehend
we prioritise by diversity by engaging in diverse unique experiences and barriers faced by women. A
communities, sourcing candidates from channels with comprehensive Global Gender Equity Strategy has
high populations of underrepresented talent, ensuring been developed, targeting systemic change at the
diversity within our interview panels and striving for Organisational/System, Group, and Individual levels.
a diverse candidate slate. This intentional approach The threefold goal is to impact systemic change,
enhances our overall representation of diversity across prioritize global actions, and empower leadership to
leadership roles. take bold actions.

This strategy underscores Cummins’ commitment

Flexible Working through Enhanced to fostering a truly diverse, accessible, equitable,
Ways of Working and inclusive culture, ensuring that all genders can
thrive within our organisation. By removing barriers
Embracing flexible working arrangements through our to equity and instilling purposeful inclusion, Cummins
Enhanced Ways of Working strategy is pivotal. This is poised to lead the way in promoting diversity
approach allows employees to nurture their careers and empowering individuals at every level of the
while effectively managing work-life priorities. By organisation.
delivering business results through flexible working,
Cummins positions itself as an employer of choice,
attracting and retaining diverse talent.

9 2023 Gender EQUALITY Report | Cummins Asia Pacific

Tackling the
Talent Pipeline
In our commitment to bridging the gender gap in technical and professional roles within Australia,
Cummins has proactively addressed the talent pipeline through its Early Careers program. The
strategic focus has been attracting and nurturing female apprentices, interns, and graduates to
create a more diverse and inclusive workforce.

Apprentice Program and Professional Roles:

Gender Diversity Interns and Graduates
Given the limited presence of experienced female In the area of professional roles, Cummins continues
technicians in the industry, Cummins’ apprentice to make progress in enhancing gender diversity
program has taken significant steps to improve among our interns and graduates. The 2024
gender diversity. The company has achieved notable Internship program is poised to comprise 25%
success with a consistent 20% to 40% gender female students across various disciplines, including
diversity with each annual intake. Over the last two engineering, human resources, marketing, and
years, we have increased in our apprentice intake by health, safety, and environment. Disciplines such as
80%, highlighting our commitment to maximizing the Health Science, Business, Law, Management, and
program’s impact. Mechanical Engineering are actively represented.

To further enhance the learning experience, Cummins Their integration into Cummins’ business is expected
introduced apprentice capability supervisors at sites to augment and diversify the Supply Chain and
with high apprentice populations. Looking ahead to Engineering pipelines, reinforcing the company’s
2024, we have set an aspirational goal of 35% female commitment to fostering a more balanced workforce.
representation within the expected 85 apprentice
intake. Notably, our Queensland intake has already The increase in female representation in intern and
achieved 50% female representation. graduate roles is attributed to targeted strategies,
including addressing unconscious bias in hiring
managers, crafting gender-neutral advertisements,
leveraging social media for diverse outreach, and
adopting flexible work hours and locations.

Continued ...

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Tackling the
Talent Pipeline Continued ...

Cummins’ Initiatives to Increase the Collaboration with Work180

Talent Pipeline
Cummins works actively with Work180 to promote
Cummins has implemented a range of initiatives opportunities, illustrate employee benefits and
to actively increase the talent pipeline for female flexibility and has provided details of female
professionals, particularly in non-traditional trades. technicians to Work180 to prepare content for
their social media. This aligns with the company’s
Strategic Partnerships commitment to showcasing diversity in the
workplace.
Cummins actively seeks external partnerships
Government Industry Consultation: Cummins
with organisations such as Transport Women
actively participated in the Commonwealth
Australia, Trades Women Australia, and Women
Department of Employment and Workplace
in Automotive. Through activities like sponsoring
Relations consultation held in November 2023. This
awards, joint events, job board postings, and inviting
engagement aimed to explore ways to support
representatives to recruitment open days, the
women in achieving careers through Vocational
company aims to promote female participation in
Education and Training (VET) pathways, informing the
non-traditional trades.
design of future skills and training initiatives to support
women’s economic equality.
Collaboration with Busy At Work
Cummins’ comprehensive approach to addressing
Cummins’ collaboration with ‘BUSY At Work’ the talent pipeline reflects our dedication to fostering
aims to bridge the gender gap in non-traditional a more diverse, equitable, and inclusive workplace
trades. ‘BUSY At Work’ administers National in Australia. The company’s initiatives not only aim
Training Contracts and provides support to first- to attract and retain female talent but also contribute
year apprentices through comprehensive mentoring to the broader goal of achieving gender equality in
services fostering connections between apprentices traditionally underrepresented fields.
and experienced mentors. The organisation also
broadens our candidate pool by advertising vacancies
on their electronic jobs board.

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Employee
stories

Sam Rickard
Aftermarket Sales Leader - South Pacific
Co-leader of the Asia Pacific Women Empowerment Network

“As I progressed in leadership, I recognised the critical impact of Diversity, Equity

& Inclusion (DE&I) on business outcomes and personal values. Confronted with
gender-related challenges, I joined an Employee Resource Group (ERG) to foster
accountability.

Exploring issues like the merit trap, leadership shadow, and gender pay gap, I became
an advocate for change, especially for my children’s future. Now, as a proud co-leader of the APAC Women’s
Empowerment Network (WEN), I actively contribute to gender equality initiatives. My role involves connecting talent
with hiring managers, addressing gender-specific challenges, and promoting the personal development of women
within our organisation. It’s immensely satisfying to witness the positive impact we make each year.”

Chelsea Joanna Briggs

Mechanical Technician, In Shop Service

“Working at Cummins has been fantastic for me as a Mechanical Technician.

Cummins goes all out in supporting diverse individuals, embracing everyone
regardless of their background or gender. I’ve never felt treated differently, and
that’s empowering. Cummins is a workplace that lets me shine without any
biases holding me back.

The positive responses I’ve received from others in the company, seeing a female
in a typically male-dominated field, is truly impactful. Cummins doesn’t just talk about diversity; they actively
support it, and I’ve played a role in paving the way for a more diverse workforce. As a technician, I’m not just
doing my job; I’m also mentoring apprentices, guiding them through tasks and helping them understand the ins
and outs of our trade. It’s been immensely rewarding to step up into a supervisor role, contributing significantly
to my colleagues’ growth and development.

What sets Cummins apart for me is the incredible support they provide. During challenging personal times, my
supervisors and team at Cummins didn’t just understand; they made accommodations to make my life easier.
It’s like working with family, and that’s amazing. Cummins does not just talk the talk; they walk the walk when it
comes to diversity, equality, and creating an inclusive workplace where everyone can thrive.”

CLICK: 4 examples of flexibility with Cummins

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CLICK: Employer Page: Cummins x Work180

12 2023 Gender EQUALITY Report | Cummins Asia Pacific

 Sarah Bilston
Major Accounts Manager – Mining

“Over my 25-year journey with Cummins, flexibility has been a cornerstone.

Starting as an Assistant Accountant in Adelaide, I seamlessly relocated to
Melbourne and Sydney while retaining my head office position. Benefiting
from flexible work schedules, generous parental leave, and part-time hours,
my progressive return to work, from three to five days a week, was supported
by open discussions with my manager. My flexible working arrangements
have allowed me to explore different career opportunities. It is a two-way
street,’ I’ve learned to reach out for support and gain knowledge. The support network at Cummins has
always been there for me.

Cummins’ commitment to my growth was evident in supporting my educational endeavors, covering my

CPA fees and offering a fully paid MBA opportunity at Indiana University. Cummins focuses on supporting
individual career aspirations. Transitioning from finance to management and eventually to a customer-facing
role, the flexible career pathways and strong support from the Cummins network have been instrumental.
It’s this tailored approach to growth that makes Cummins exceptional.”

Lora Miller
On Highway Product Manager – Asia Pacific

“Don’t overlook the power of seeking support. At Cummins, I’ve been fortunate to
have consistent backing for my personal and professional goals. From pursuing
postgraduate education to relocating, Cummins has been instrumental in my
journey. I’m grateful for their proactive efforts in enhancing gender diversity, evident
in our growing team and increased representation in industry advocacy groups.”

Kirsty van Oudtshoorn

Project Manager – Supply Chain Continuous Improvement Asia Pacific

“My career journey has been anything but linear. From aspiring pilot in the RAAF
to cooking in London, running kitchens, and even opening my own restaurant,
I faced challenges in the hospitality industry. Despite attempts to shift careers in
Cairns, biases hindered opportunities. Deciding to pursue a business degree, I
joined Cummins as an intern at almost 29!

Starting as a Project Management Intern, I transitioned to the Brisbane

Administrative Team, then led the Supply Chain Services project. From Project Coordinator to Project Manager
in 10 months, my promotion was driven by hard work and integrity.

“I rarely have all the answers, but I proactively seek them, showcasing dedication. Recognized regionally and
globally, I was rewarded for my work with a promotion.”

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Our
commitment

At Cummins, Diversity, Equity and Inclusion (DE&I)

is a Business Imperative.

To learn more about Cummins’ commitment to

Diversity, Equity and Inclusion, please refer to the
Cummins Human Capital Management Report 2023.

Cummins Head Office

2 Caribbean Drive
Scoresby VIC 3179
Australia
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© 2024 Cummins South Pacific Pty Ltd.