Gender Pay Gap Reporting – Be Prepared!
In February 2016, draft regulations were published that outlined there will be compulsory reporting of gender pay gaps from employers with over 250 employees. Employers will have to calculate their gender pay gap from April 2017 and publish the details by April 2018. These will apply to private and voluntary-sector organisations. Similar rules for the public sector are still to be set out in parallel legislation. Chief HR Officer Emma Coultan shares her top tips on how to ensure you're prepared for the new regulations.
So, what will need to be published?
The gender pay gap is the average difference between men and women’s total hourly pay and both the mean pay and median pay will need to be published.
Employers will need to publish figures on the following:
- Mean average gender gap
- Median gender pay gap
- Mean gender bonus gap
- Median gender bonus gap
- Proportion of men and women receiving bonus
- Proportion of men and women working in each of the four pay bands
Where does this data need to be published?
Employers are required to publish their data on their website for at least 3 years with a written statement signed by a director vouching that the report is accurate. It must also be uploaded to a government-sponsored website.
- Consider if any additional data and information would be useful for internal analysis of gender pay gaps.
- Take into account what time of year the data is published as this will be required annually, so try to avoid busy periods.
- Although not essential, it is encouraged to add a commentary outlining reasons behind the results and what is being done in response to this data.
- It would also be advised to create an action plan to address gender pay gaps; again this is not an essential requirement but is encouraged.