Gender Pay Gap Reporting
Gender pay gap reporting was intended to be a quick and easy process. The reality is that, for many employers, particularly those with complex pay structures, it can be far from either. It requires scrutiny of every element of remuneration, as well as the employment arrangements of your workforce. Without the right support, it can be a long and difficult process.
Our team of employment and reward specialists has significant experience dealing with complex workforce structures and remuneration schemes. We can manage the full gender pay gap reporting process: from ensuring legal compliance, to obtaining insights from your data, and finally to preparing your report. We work with large national and international employers from a wide range of sectors on their UK gender pay gap reporting obligations. We also advise on gender pay gap reporting requirements worldwide.
We break gender pay gap reporting into three main “phases”:
- Ensuring compliance. Gender pay gap statistics are only as reliable as the data that goes into them. We have extensive experience of advising employers on how to treat their pay elements for the purposes of gender pay gap reporting. We can work with your payroll team and other stakeholders to help ensure you gather the correct data and only count the “relevant employees” in scope. We can also advise on more complex elements of remuneration that might be within scope of gender pay gap reporting, such as stock options or RSUs.
- Understanding your statistics. Gender pay gap statistics are a very blunt tool for assessing the extent of any workplace inequality and tell far from the whole story where gender equality is concerned. We can apply a range of statistical techniques to help you put your headline statistics in context and understand the real drivers behind your gaps. By drilling down into your figures to look at gaps by grade, department, job title or other relevant measure, we can help you assess whether you may be running any equal pay risks that warrant further investigation and action. We can hypothesis test your data - for example, answering questions such as what would your gaps now (or in the future) be if there were gender equality at board level? What about at entry level? We can also apply advanced statistical methods such as regression analysis to help you understand how much gender is really contributing towards your gaps.
- Preparing and acting on your report. Gender pay gap reports are read by your employees, competitors, suppliers and clients/customers, as well as national and industry press. They set the tone for your organisation’s approach to workplace gender diversity and, if done properly, can help promote your employment brand – or can damage it if you get it wrong. We both draft and review our clients’ gender pay gap reports, helping add important context to their statistics and highlighting their diversity initiatives. Our lawyers, and experienced HR consultants through our Worksphere service, can also work with you to achieve your gender pay gap goals through training programmes and other targeted action.
Contact us for more information on how we can help you with your gender pay gap reporting.
Employer loses discrimination claim after trying to reduce gender pay gap28 July 2021
An Employment Tribunal decision involving an ad agency has highlighted the dangers for employers of taking an overly aggressive approach to reducing gender pay gaps. It also provides a reminder that all discrimination is unlawful, even where the victims are from a historically privileged group.
Reporting Ethnicity Pay Gaps Recommended for UK Employers: Tom Heys comments for SHRM04 June 2021
The U.K.'s Commission for Racial and Ethnicity Disparity recently recommended that all employers voluntarily report pay gaps among ethnic groups to identify and rectify disparities.
‘Adjusted’ gender pay gaps - an alternative approach to gender pay gap reporting?04 May 2021
Calculating an “adjusted” gender pay gap could provide useful context to an employer’s gender pay gap statistics and reveal systemic bias. But what is an adjusted gender pay gap and how is it calculated?
Gender pay gap reporting - what do the published statistics tell us so far?14 April 2021
Employers have until 4 October 2021 to report their gender pay gap statistics relating to 5 April 2020. With over 25% of employers having published their figures already, what do the results tell us so far?
Ethnicity pay gap reporting: new legislation looks unlikely after report by Commission on Race and Ethnic Disparities31 March 2021
Ethnicity pay gap reporting should be voluntary, according to a new report published by the Commission on Race and Ethnic Disparities.
Gender pay gap reporting – six-month deadline extension announced25 February 2021
Employers must report their gender pay gap statistics relating to the “snapshot date” of 5 April 2020, but they now have until 4 October 2021 to do so following an extension of the deadline due to the impact of Covid-19.
How Covid-19 has messed up gender pay gap statistics: Tom Heys writes for Compliance & Risk Journal11 June 2020
The current pandemic will affect employers obligations to report on their gender pay gap, which came into force in the UK in 2017, in a number of ways. Tom Heys explains the impact of Covid-19 on these obligations, highlighting the practical issues involved and how employers can tackle them.
Tom Heys comments for HR Grapevine: 100% of UK employers have published their Gender Pay Gap data07 August 2018
In an article for HR Grapevine, Tom Heys discusses Gender Pay Gap reporting and states the regulations are progressive and valuable in terms of shedding light on workplace inequality.