In 2017, it became compulsory for companies to share their pay gap data. Since then, there’s been some progress but we’re still not there yet. The UK’s wage gap has fallen from 18.4% to 14.3% in 2023. That means women earn 91p for every £1 earned by men. Every year, the Fawcett Society marks Equal Pay Day: the day of the year when women stop earning relative to men due to the gender pay gap. In 2023, this fell on the 22 November. That means compared to men, women worked the rest of the year unpaid.
Here at ICENA, we still get countless reports of unequal pay. In areas like construction (22.8%), finance (21.5%), insurance (21.5%), education (20%) and the public sector (14.5%), the gap is still unacceptably big.
As this is still such an important unresolved issue, we thought we’d answer your gender parity at work questions. We hope we can help you advocate for yourself and others and create cultural change in your workplace.
“What should I do if my male coworker earns more than me?”
If you’re earning less than a male colleague in the same role with similar results, responsibilities and qualifications, it’s time to have a chat to your employer.
Start with your manager or HR representative. Tell them you’re worried about wage disparity and would like a meeting to talk about it. Be clear that you want to have a conversation not start a fight, and that you’ve got the best interests of the company at heart. After all, they might not have realised what’s happening and will appreciate the chance to make things right.
At the end of the conversation, agree a timeline for next steps. If nothing changes or you’re not happy with the outcome, you may need to take legal action. The Citizens Advice Bureau or the Equalities and Human Rights Commission are both great places to start with this.
“I’ve been told that wage disparity between genders is fair because, as a woman, I may start a family one day. Is this right?”
Quite simply, no. No employer has the right to pay you less based on what might or might not happen in the future. Talk to your manager or HR representative and bring up their legal obligation to pay men and women doing the same job the same salary.
We would go even further to say that your employer should offer equal paid family leave, subsidised childcare and flexible or remote work arrangements for all parents.
“As a manager, how should I respond to requests for equal pay?”
If a member of your team asks about equal pay, it’s important to listen. Make sure they feel heard and know that you’re taking their comments seriously. You might feel defensive, but by coming to you to talk they are clearly hoping to find a solution that means they can continue to work with you.
It’s a good idea to brush up on company policy as well as the law so that you know where you and the company stand. During the conversation, be as open and honest as you can. Explain why things are the way they are and what’s being done to change them.
Close the meeting by setting a timeline for action points in writing. Agree dates by which you and the company will hit certain milestones. Follow up with the employee before that deadline. Keep them and any other relevant people informed so that they know their complaints matter and that progress is being made.
“I know there’s a gender pay gap in my organisation, though it doesn’t directly affect me. What should I do?”
It’s great that you’ve recognised the gap and want to advocate for your colleagues. The quickest and easiest thing you can do is simply to discuss what you earn openly. When there’s secrecy around wages, there’s often inequality.
You might also like to join a union and campaign for equal access to things like parental leave and subsidised childcare.
If you’re a team leader, manager or business owner, there’s plenty more you can do:
- Publish salary information, even if the law doesn’t expect you to
- Hold regular pay audits to make sure wages are fair
- Set up clear pay brackets and establish policies around pay rises and promotions so that gender parity becomes part of standard procedure
- Take steps to reduce the impact of the ‘gender ask gap’ – where men are more likely to ask for a pay rise than women
- Diversify your interviewers to make sure your hiring policy is fair
- Invest in female leadership
- Make equality part of your core values and company culture
If you’re reviewing your policies, procedures and company culture, we can help. Get in touch to talk to us about your organisation’s needs and goals.
“I heard the government is increasing the minimum wage. What does that mean for me as an employer?”
You’re right. It’s expected that the government will soon announce updates to the minimum wage and living wage. For the first time ever, the rates will account for the cost of living, making life more affordable for working people. This will affect women more than men as women are more likely to work in jobs with the lowest hourly rate.
If you employ young people, the gap between the minimum wage for 18 to 20 year olds and the living wage will also narrow. This is the first step towards making the rate the same for everyone.
We’re not sure yet when these changes will take effect, but it’s worth revisiting your staffing budget to prepare. If an increase to the national minimum wage would mean that some of your employees are now earning minimum wage (who were previously earning above), you’ll need to comply with minimum wage legislation.
At ICENA, we can help you bring about change in your organisation. Our consultancy services will deliver the changes to policy, procedure and culture that will close your organisation’s gender pay gap and create a more attractive, motivated, and profitable workplace. Get in touch to discuss.
