Zurich UK has published social mobility pay data, the first insurance firm and one of just a handful of UK employers to do so.
Analysis across 73% of Zurich UK’s 5,000 UK employees shows its median socio-economic pay gap between those from professional and lower socio-economic backgrounds is -4.2%. In comparison, the insurer’s mean average pay gap is 10.5% between employees from professional and lower socio-economic backgrounds.
Zurich’s UK workforce comprises 28% from professional backgrounds, 10% from intermediate backgrounds and 23% from lower socio-economic backgrounds. The Social Mobility Commission reported in 2021 that the composition of the entire financial services workforce is 45% from a professional background, 21% intermediate and 34% from a lower background.
Steve Collinson, chief HR officer at Zurich UK, said: “Today’s announcement represents a firm commitment from us to understand and implement social equity drivers within our organisation. Sharing these pay gaps, alongside the measures implemented to enable social mobility, is a great way to shine a light on what is currently the best-kept secret in DEI [diversity, equity and inclusion]; social mobility is the linchpin of shifting the dial on multiple diversity characteristics.
“While chipping away at the class ceiling is certainly a step in the right direction, smashing it is the ultimate goal. Social mobility is the next step in achieving a truly diverse workplace and I’m proud to say that at Zurich, your socio-economic start in life doesn’t determine your future career.”
In addition to mentors, Zurich UK has introduced a programme to support career progression and remove barriers to those from lower socio-economic backgrounds. Its social equity initiatives include: Social mobility ambassadors’ group: volunteer members raising awareness and building new policies while aiding others in workplace progression; skills-based hiring: removing barriers for those with limited work experience; removing unnecessary qualifications from job descriptions; awareness training: helping people leaders and hiring managers to understand social mobility barriers; and internal mobility and upskilling opportunities: creating and supporting apprenticeships, development programmes and succession planning to aid progression.
The upcoming Equality (Race and Disability) Bill plans to make ethnicity and disability pay gap reporting compulsory for all large employers.
As part of its efforts to crack the class ceiling, Zurich asks its employees to voluntarily share their socio-economic background. The data shows that one in five senior leaders at Zurich UK are from a lower socio-economic background.
