Gender pay gap reporting

Recognising that a diverse workforce is good for individuals and employers as well as the wider economy, the UK Government introduced new legislation which took effect on 5 April 2017. The Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 require all organisations with 250 or more employees to publish their gender pay gap data by 5 April 2018.

Penningtons Manches Cooper advises clients on each stage of the process, from the initial data collection required to comply with the regulations, to analysis and calculating the ‘snapshot’ figure for any gender pay gap, through to developing a strategy and communication message for the final gender pay gap report.

We recognise that data gathering and calculating the gender pay gap can be a complex process for an organisation. Despite the level of publicity that the new regulations have received, an online survey has revealed a degree of uncertainty over the practical application of the regulations in the workplace, with many employers unclear on what constitutes an ‘employee’, how group companies should report, and how different types of ‘pay’ and bonus schemes should be recorded. 

Our approach is both practical and strategic. We provide expert legal advice to ensure that the data collected and inputted to the calculations complies with the regulations, and our Gender Pay Gap Calculator is a practical tool that we have developed to calculate both mean and median pay and bonus figures. This enables employers to produce an accurate figure on the pay gaps in their organisation. 

We also work with employers to decide how the data should be presented. The publication of a gender pay gap statement can potentially have an impact on both the external reputation of an organisation and the individuals who work within it. We offer specialist advice on what an organisation presents and how, as well as on what steps it can take to close any pay gaps which may exist and what to include in any voluntary narrative.

Our lawyers can also carry out privileged pay audits in order to help frame the narrative in the way which best suits the company.