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Employment Law: Gender pay gap reporting

adrian_fryerThe Government Equalities Office has told the Treasury Select Committee that it is planning to extend the gender pay gap reporting obligations. The gender pay gap refers to the fact that average pay for men is greater than average pay for women. Since 2017, companies with 250 or more employees must publish their gender pay gap figures.

Statistics published earlier this year show that the gender pay gap is widening to men’s advantage. The latest proposals follow suggestions from the TUC that companies need to find active ways to reduce the gender pay gap rather than seeing the process of reporting as a compliance exercise. Various proposals are in play, including lowering the number of employees trigger point so that smaller companies must report on their gender pay gap. There is also a suggestion that greater enforcement powers might be introduced.

Smaller businesses will not welcome the extra administrative burden with tighter budgets and fewer resources than their larger counterparts. All proposed changes will be put out to public consultation so keep an eye out to ensure that you have your say.