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Ethnicity pay gap reporting

Is ethnicity pay gap reporting mandatory? Not yet. However, although it is not a legal requirement, a growing number of employers are voluntarily calculating and reporting ethnicity pay gaps.

We have been advising large national and international employers on ethnicity pay gap reporting for many years. We have a wealth of ethnicity pay gap reporting experience covering all industry sectors. We provide a complete ethnicity pay gap reporting solution including:

Obtaining data for ethnicity pay gap reporting

Using the gender pay gap reporting regulations as a starting point, we can advise you on what to include within your dataset for ethnicity pay gap reporting. We have extensive experience advising employers on all elements of compensation, including more complex arrangements such as RSUs and options. We can advise you on what employees to include in your ethnicity pay gap reporting analysis.

Data issues for ethnicity pay gap reporting

Employees are not legally obliged to share their ethnicity data, so employers datasets are often incomplete. Calculating ethnicity pay gaps from partial data on your population means that any gaps might contain uncertainty and doubt.

We have developed techniques to overcome this problem and we can help you:

  • Get a better dataset by increasing the response rate for ethnicity data. We can advise you on strategies to build your ethnicity dataset.
  • Understand the degree of uncertainty in any gaps caused by incomplete data. Using simulation techniques, we can help you understand the uncertainty and accurately estimate what your true gap might be

Analysing your ethnicity pay gaps

We have masses of experience at getting to the bottom of pay gaps. We provide bespoke insights and intelligence specific to your industry, workforce and business.

We can deploy a variety of techniques to understand the drivers of your ethnicity pay gaps. For example, breaking employees down into grades, departments and/or functions. We look at ethnicity pay gaps on a broad (white vs non white) level as well as more granular, taking into account any issues caused by small sample sizes. We can identify whether there are particular groups being disproportionately affected and help you ensure your diversity efforts are targeted at the right places.

We can also analyse intersectionality issues and help you understand whether there are issues with particular combinations of gender and ethnicity.

How to reduce your ethnicity pay gaps

We can run simulations to identify which areas of your workforce need to change and how big that change needs to be. We can help you identify achievable targets, giving you a clear pathway to eliminating any ethnicity pay gap. We can then pair these targets with evidence-backed initiatives that will help you remove any barriers to building a more ethnically diverse workforce.

Drafting your ethnicity pay gap report

Although not a legal requirement, many employers want to publicly demonstrate their commitment to greater ethnic diversity by publishing an ethnicity pay gap report.

We have a wealth of experience in drafting ethnicity pay gap reports. We can help you put your ethnicity pay gaps in the best possible light. We take a strategic and far-sighted approach to drafting, meaning that we can help you avoid any problems with future years reporting and help to tell the positive story about your ethnic diversity efforts.

Fill in the form below to request a call back and find out more about how we can support you with ethnicity pay gap reporting.

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