Regulations on mandatory gender pay gap reporting introduced
Implementation date: April 2017
Section 78 of the Equality Act 2010 is commenced by the Equality Act 2010 (Commencement No.11) Order 2016 (SI 2016/839) to require employers to publish information showing whether or not there are differences in pay between male and female employees. The new requirement will apply to private companies and voluntary sector organisations that employ 250 or more employees.
The Government is consulting on the draft Equality Act (Gender Pay Gap Information) Regulations 2016. The draft Regulations apply to private companies and voluntary sector organisations. The Government will publish regulations for public authorities separately. The draft Regulations prescribe the specific details of the requirement, including which elements of pay are included in the calculation of pay and bonus pay. There is a statutory requirement for employers to publish the differences in mean and median pay and mean and median bonus pay between male and female employees, expressed as a percentage. Employers must also provide information on the number of male and female employees employed in quartile pay bands for the overall pay range.
The information must be published annually on the organisation's website and in English, accompanied by a signed statement confirming that the information is accurate, and must be available on the website for at least three years. In addition, the information must be provided to the Government via a designated website.
Organisations must publish their first report within 12 months of 5 April 2017. The Government will issue guidance on the Regulations.