Government announces draft regulations on gender pay reporting

Morgan Nicky-Minister women and equalities-2014The government has published its draft regulations on its compulsory gender pay gap reporting for organisations with 250 employees or more.

Nicky Morgan, women and equalities minister, outlined the government’s plans to close the gender pay gap within a generation. The regulations include government plans to publish the pay gap by sector in a league table that will allow staff to see where the gap is being addressed and where more action must be taken.

Every employer must also publish their gender pay gap on their website.

The government will also offer a £500,000 support package to help organisations implement the regulations, including UK-wide conference events, free online software, targeted support for male dominated-sectors, and the publication of a report highlighting the business trailblazing in this area.

Morgan (pictured) said: “In recent years, we’ve seen the best employers make ground-breaking strides in tackling gender inequality. But the job won’t be complete until we see the talents of women and men recognised equally and fairly in every workplace.

“That’s why I am announcing a raft of measures to support women in their careers from the classroom to the boardroom, leaving nowhere for gender inequality to hide.

“At the same time I’m calling on women across Britain to use their position as employees and consumers to demand more from businesses, ensuring their talents are given the recognition and reward they deserve.

“Today’s announcements come after a consultation on requirements for employers to publish their gender pay gap. Today the government will be pressing ahead with the plans by laying draft regulations to make sure they come into force as soon as possible.”

Denise Keating, chief executive of the Employers Network for Equality and Inclusion (ENEI), added: “The draft regulations have been constructed in consultation with employers, and it is encouraging to see that employers have engaged in the process without attempting to water down any proposals.

“These rules should not be seen as a punishment for employers but a real opportunity to create a difference in tackling the gender pay gap and increasing female representation at the higher levels of organisations.

“For government and employers, the real challenge remains in increasing the number of women working outside of health, education and retail, and ensuring that the girls currently in the education system receive informed, non-biased advice about how they can maximise their career potential when they complete their education.

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“By creating inclusive work cultures and tackling unconscious bias, organisations will reap the benefits of talented women progressing in their organisations.”

The regulations will come into effect in April 2017.