All companies must familiarise and introduce controls and procedures
to tackle the gender pay gap
In the UK, the gender pay gap reporting for big firms
will start in 2018 and will introduce legislation to introduce new rules
on pay transparency and to eradicate the gender pay gap for companies with
more than 250 employees in 2016.
Equality between women and men is vital
for the creation of quality jobs. However, female employees, trade unions
and others can in 2018 find out if women are paid less than their male
counterparts in a league table ranking for large firms to report the gender
pay gap.
The gender gap is 80p for every £1 In most countries it is
illegal to pay different amounts to men and women doing the same jobs
under a variety of Equal Pay Acts. However, estimates from the UK Office
for National Statistics suggest the pay gap currently stands at 19.2%
for full- and part-time workers.
Therefore, if companies introduce policies to close the gender pay gap
it could benefit the bottom line, stakeholders and employees;
Introducing a gender perspective can help businesses to:
- Recruit and retain the best employees
- Create a positive work environment and gain the confidence of their
employees
- Optimise human resources and improve productivity and competitiveness
- Create a better public image and achieve a higher shareholder value
and
- Perhaps attain a wider and more satisfied customer base.
The move to disclose the gender pay gap faces resistance from business
groups that forces companies with more than 250 employees, to disclose
details of salaries and bonuses to their male and female staff.
By 2018, the inequality data will be transparent
The reporting metrics will include mean and median calculations and earnings
distribution across different levels of income and seniority. Bonuses
will be included in the published figures to make sure that all components
of pay disparity and other inequalities are addressed.
Based on global statistics the general view is that women make up 60%
of junior managers, 40% of middle managers and 20% of senior managers.
For additional statistical information on the subject: http://webarchive.nationalarchives.gov.uk/20160105160709/http://www.ons.gov.uk/ons/dcp171778_424052.pdf
Copenhagen Compliance is involved in organising a conference on the subject
in Stockholm on gender equality in the c-suite & boardroom. http://skytopstrategies.com/gender-equality-in-the-c-suite-and-boardroom-sw/
