By 4 April 2018 all private sector businesses employing 250 or more employees, must publish and report on data relating to pay and bonus differences between what is paid to men and women, working within their business. This new obligation is referred to as "Gender pay reporting". The intention behind the reporting is to close the gap in pay between the genders.
At present employers who have less than 250 employees are not required to report. However, this may change in the future, as the Government appears keen for businesses that fall outside the required reporting parameters, to also report on gender pay gaps.
By clicking the link below you can watch an informative YouTube clip released by the Government Equalities Office. The video entitled, "What is the gender pay gap?" provides a useful overview of what employers are required to do and why. For more detailed information on how to prepare the six calculations that need to be reported and published on the employer and Government websites, look at the new ACAS guide found here.
Those who are subject to this reporting duty might have a concern that it will create problems that did not exist before; as the identification of gaps may lead to discontent amongst employees. However, there is an upside to reporting in that businesses that identify gaps will have a period of time in which to do something to address the situation.
Taking proactive steps to make changes to address those gaps can enable employers to build their reputation in the marketplace. This, in turn, will assist in them being known as "an employer of choice". Other key ways in which employers can benefit from gender reporting are set out below in the Government and Equalities Office infographic.
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Mrs May is now appealing to smaller firms to disclose their pay details...Reducing the gap "once and for all" requires "sustained action" from employers...