Gender pay gap reporting

Back in July 2015, David Cameron first announced his plans to eradicate monetary gender inequality in the workplace and make businesses report their gender pay gap. There was a general consensus that this would be a positive step to creating a bridge for equal pay and the plan was to push businesses to be more transparent to make steps for improvement but has that worked?

Since the announcement, there have been a number of businesses that appear to be worried about how their results may define them as an equal opportunity employer, a fear which may insinuate poor practices when it comes to women in the workplace. Considering that the United Kingdom is seen as a country that promotes inclusivity there is obviously room for vast improvement. 
Sheri Hughes, PageGroup’s UK Diversity and Inclusion Director said: “It doesn’t matter whether someone is a woman, a parent, LGBT or has a disability, their career options don’t change. It’s about their ability to do the job.” 
However, does this narrative of gender transparency define the opportunities that women currently have or could have in the future? 
Firstly, we need to understand the difference between the Gender Pay Gap and Equal Pay. The difference is as follows: 
  • Gender Pay Gap: the difference between average earnings for men and women.
  • Equal Pay: women and men awarded the same pay to do equivalent or identical work.
There is much debate about how each of them actually has influence over the other and recording and publishing a disproportionate narrative has and will, invoke strong negativity and challenge without ideas and positive debate. There is indeed a challenge and a true momentum for change is required - after all, where there is challenge there is opportunity. Sarah Kirk, PageGroup’s Global Inclusion and Diversity Director said: “The business, the world we live in are ever-changing, so there is still a lot for us to do.” Retail already has a few strong and influential female leaders, such as Angela Ahrendts, Senior Vice President of Retail at Apple Inc., Barbara Rentler, CEO of Fortune 500 Company, Ross Stores Inc., and Dame Carolyn McCall, Chief Executive of ITV.  Sheri Hughes adds: “Diversity is about respecting what makes people different – that’s what it looks like. Inclusion is what it feels like.”
This proves that there are some sectors where equality for women has improved. Key business decisions are made at boardroom level and it stands to reason that it’s from there the catalyst of change should be filtered down. Perhaps the education needs to start earlier with children at home, where career boundaries can be ripped up and re-laid.

Is enough being done?

The gender pay gap transparency is just the start. Progress is being made because it’s being discussed right now. However, we can go further if businesses were required to give more insight into their policies, learning and development opportunities, as well as employee mentoring and sponsorship schemes aiming for a happier workforce. The data collected from all of these initiatives would then contribute to a fuller equality picture. “Ultimately, if people are happier they will perform better and the company will make more profit,” says Sarah Kirk.

Summary

Having a diverse boardroom and workforce can only benefit the organisations in the long run and encourage a new wave of workers into key positions. What is apparent is that while there are a number of females in positions at CEO level, the gender pay gap is real and changes are needed to improve the numbers. Businesses have already begun to publish their findings and many have recognised the need for improvement.