More than half (55%) of UK workers want the government to commit to introducing mandatory ethnicity pay gap reporting within the next 12 months, according to research by not-for-profit organisation People Like Us.
Its survey of 2,003 employees, which was published to coincide with Ethnicity Pay Gap Day on 8 January, also found that this rises to 65% of ethnic minority workers and 66% of Millennials, aged 25-34.
Two-fifths (40%) of respondents said ethnicity pay gap reporting would improve career development opportunities, rising to 55% among ethnic minority workers.
More than half (56%) of ethnic minority workers have discovered a colleague from a different ethnic background was paid more for doing similar work. Of those, 14% challenged it and received a raise, while 13% challenged it but faced repercussions.
In addition, 61% of Gen Z workers aged 18-24 and 59% of Millennials have experienced unequal pay by ethnicity, compared to 18% of workers aged 55 and above. Overall, a third (35%) said they have been paid less than colleagues with similar roles and responsibilities, rising to 40% of ethnic minority workers and 34% of white staff.
A third (33%) said their organisation does nothing to ensure clear and equitable progression opportunities. Among those whose employer takes action, 35% report a clear review process for promotions and pay rises. Despite this, 74% said their employer does not publish salary bands.
Ethnic minority workers are twice as likely as white workers to seek a job at firms that voluntarily report their ethnicity pay gaps, at 28% and 14% respectively.
Sheeraz Gulsher, co-founder of People Like Us, said: “Working people are sending the government a clear message: act now. Far too many people are experiencing significant barriers to fairness and progression in the workplace, especially younger and ethnic minority workers. If the government is sincere in [its] pledge in supporting young and ethnic minority workers, [it] needs to address this policy area as a matter of priority.
“Reporting isn’t a silver bullet, but it is the bare minimum: a practical step that forces transparency, builds trust, and gives employers the evidence they need to fix what’s broken.”
