Gender pay gap reporting

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  • Private and voluntary sector employers with 250 or more employees will have to report annually on the gender pay gap in their organisations – although there are currently no proposed civil or criminal penalties for failing to do so.
  • The gender pay gap is a different concept from that of equal pay. The gender pay gap is a term used to describe the difference between the average pay of men and women in an organisation. As such, it reflects not just whether men and women are receiving equal pay for equal work, but also whether women are employed within the senior, higher paid, and whether the organisation is able to attract and retain an equal number of female employees. 
  • In any given organisation, men and women can be paid the same at every grade, but if women are predominantly in junior roles while men dominate higher-paid management roles, the organisation will have a gender pay gap.
  • The overall gender pay gap is 19.1%. For full-time workers it’s 9.4%. 
  • The government previously opted for a voluntary approach (the ‘Think, Act, Report’ initiative). But despite some high-profile companies signing up, only five companies actually published details of their gender pay gap since the scheme was launched in 2011.
  • The Small Business, Enterprise and Employment Act 2015 will bring into force s. 78 of the Equality Act 2010. This contains a power to require private and voluntary sector employers with 250 or more employees to publish information on their gender pay gap.
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