Equal pay, or pay equality, remains a challenging issue for many employers, particularly when transparency is limited and legal risks are high.
There has been increased commentary on possibly reinstating equal pay questionnaires, which were scrapped in 2014. The questionnaire allowed employees to request information from their employers about pay comparators. The idea behind its removal was to reduce the administrative burden, but in practice, it may have created more uncertainty for both employees and employers.
Without a clear process, employees often turn to legal action without having early clarity. For organisations, that can mean having to deal with costly disputes that may have been resolved informally. The idea of reintroducing the questionnaire could offer a middle ground: a way to raise concerns at an early stage, identify potential risks, and take corrective action where necessary before a matter escalates.
However, it is important that any reinstatement is handled with caution. Employers will understandably be concerned about data protection, especially when comparator information contains sensitive personal data. Any new framework would need to strike a balance, offering pay transparency while protecting confidentiality, possibly through anonymised responses or clear guidance on what can be disclosed.
The effect on employers will depend on how the process is implemented. A well-designed questionnaire could support fair pay practices and reduce the risk of claims. But if it is too complex or time consuming, it could pull focus from areas that might otherwise focus on growth.
Equal pay is not just a legal issue, it is a matter of reputation. As organisations grow, scrutiny increases. Reinstating the questionnaire could be a step towards greater accountability, but only if it is part of a broader strategy that includes robust pay benchmarking, clear policies, and open communication with employees.
For founders and those working in HR, whether or not the questionnaire returns, it is important to have equal pay on employers’ radars.
Robert Forsyth is a partner in the employment team at Michelmores
