Document Abstract

The state of pay: demystifying the gender pay gap

Explores the gender pay gap in the UK based on an analysis of data on gender pay (economy-wide data produced by the ONS, and new organisation-level data published in April 2018 by more than 10,000 large employers) and narrative reporting by a number of firms. Discusses the drivers of the gender pay gap and includes information pay gaps by occupation, industry, age and region. Reveals that: the UK has a gender pay gap of 18.4% - women earn, on average, 18.4% less per hour than men; the pay gap has six drivers - occupational segregation (more men than women working in certain higher-paid occupations), seniority (women tending to be in less senior roles than men), the maternity penalty, the lower level of part-time pay, historical skills gaps between men and women, and discrimination and bias; the pay gap tends to be lower when pay is lower; the pay gap is largest for women over 40; and the 10,019 employers that have reported have an average pay gap of 12%, with 78% reporting a pay gap of some level. Recommends that employers should: should rethink policies around pay negotiation – women have a lower propensity to negotiate salary; introduce a more structured approach to progression for women; encourage more men to work flexibly, and to take time out for caring responsibilities; and commit to publishing narrative reports alongside their pay gaps.


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Colebrook, Catherine; Snelling, Charlotte; Longlands, Sarah
Ref No:
Institute for Public Policy Research (IPPR)

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