Volkswagen Financial Services UK reports 24.7% mean gender pay gap

Volkswagen Financial Services reports 24.7% mean gender pay gap

Volkswagen Financial Services UK (VWFS) has reported a mean gender pay gap of 24.7% for average hourly pay as at April 2019, down from 26.8% the previous year.

The organisation, which currently has more than 1,000 employees, reported its gender pay gap data in line with the government’s gender pay gap reporting regulations.

The reporting regulations require employers with 250 or more employees to publish the differences in mean and median hourly rates of pay for male and female full-time employees, the gap in men and women’s mean and median bonus pay, the proportion of male and female employees awarded bonus payments, and the proportion of male and female full-time employees in the lower, lower-middle, upper-middle and upper quartile pay bands.

Due to the Covid-19 (Coronavirus) pandemic, gender pay gap reporting regulations have been suspended for the 2019/2020 reporting period, however, the organisation voluntarily chose to publish this data.

VWFS’s median gender pay gap is 34.8% as at April 2019, compared to 34.5% the previous year. On average, women earn 65p compared to every £1 their male counterparts earn.

Its median gender pay gap for bonuses paid during the reporting period is 32% compared to a 37.9% bonus payment gap the previous year. The mean gender pay gap for bonus payments is 39.2%, compared to 42.8% the year before.

Over the reporting period, 80% of female employees and 77% of male employees received bonus payments.

Just under one-third (31%) of employees in the highest pay quartile at VWFS are female, compared to 50% in the second quartile, 63% in the third quartile and 68% in the lowest pay quartile.

Mike Todd, chief executive at VWFS, said: “VWFS is passionate about diversity, equality and respect in our workplace. In fact, fairness, respect and integrity are at the heart of our core beliefs. They are integral to our values, policies and practices, as well as to the fair and transparent way the organisation approaches pay and bonuses.

“We have seen positive movement in our gender pay figures this year, which is a promising move for us as an organisation. We are, however, considerate of the fact we have undergone internal organisational changes throughout the reporting year. We recognise the industry is challenging itself to change its culture and we are playing our part in the way we work, through our values and policies.”