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Government confirms plans for equal pay league tables

Posted: 17th March 2016   In: Business Employment

The government has confirmed that it’s to press ahead with plans to force large companies to publish their gender pay gap data.

The figures will have to include the difference in bonus payments made to male and female employees. The information will then be collated and published in league tables.

The new measures are part of the government’s drive to eliminate pay inequality within a generation. The move will affect about 8,000 companies that employ more than 250 people.

Companies will have to report every year, and the information will have to be signed off by senior executives. The data will include how many women and men there are in each pay range, and must be published on the company’s website so it can be seen by both employees and consumers.

The Minister for Women and Equalities, Nicky Morgan, said: “In recent years we’ve seen the best employers make ground breaking strides in tackling gender inequality. But the job won’t be complete until we see the talents of women and men recognised equally and fairly in every workplace.

“That’s why I am announcing a raft of measures to support women in their careers from the classroom to the boardroom, leaving nowhere for gender inequality to hide.

“At the same time I’m calling on women across Britain to use their position as employees and consumers to demand more from businesses, ensuring their talents are given the recognition and reward they deserve.”

The new measures are expected to come into force in 2018. Although they only affect large companies at the moment, they illustrate the government’s determination to tackle pay inequality once and for all. Employers may wish to check that they have the right policies in place to ensure that they don’t fall foul of equal pay legislation.

Please contact John Carter if you would like more information about the issues raised in this article or any aspect of employment law.