Gender pay gap

Bar Huberman Editor's message: Equal pay legislation has been around since the 1970s, giving men and women the right to claim equal pay where they perform "equal work". The gender pay gap, however, covers the difference in the average earnings of men and women, regardless of their role or seniority. The causes of the gender pay gap are varied, including the impact of women taking time out of the labour market to have children.

To address the gender pay gap, the Government is introducing a completely new requirement for all large organisations to publish their gender pay gap. Employers will need to publish six key metrics, and the information will need to include the difference in hourly earnings as well as the gap in bonus pay.

Draft Regulations for the private and voluntary sectors are due to come into force on 6 April 2017, although the information you publish will need to reflect bonuses paid as early as April 2016. The Government has also published draft Regulations for the public sector, which largely mirror those that apply to the private and voluntary sectors. One of the main differences is that public-sector employers will need to collect pay information for the pay period within which 31 March falls (as opposed to 5 April for employers in the private and voluntary sectors).

The legislation does not contain penalties if you fail to publish your gender pay gap, but there may be negative reputational ramifications if you do not report. However, according to the explanatory note in the draft Regulations, a failure to comply may result in the Equality and Human Rights Commission taking enforcement action.

Bar Huberman, senior employment law editor

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HR and legal information and guidance relating to the gender pay gap.

Gender Pay Gap Reporting Service

  • The XpertHR Gender Pay Gap Reporting Service provides a bespoke report to participating organisations setting out the six key metrics they must publish to comply with the gender pay gap Regulations.