Since the 4th of April 2018, all UK based companies with over 250 employees are legally required to report their gender pay gap data each year. Companies with less than 250 employees can also publish and report voluntarily.

The purpose of gender pay gap reporting is to bring transparency to imbalances in pay between men and women. It also helps organisations pinpoint factors driving the gap so they can be addressed. With a national median pay gap of 18.4%, the UK has a long way to go to bridge the difference. However, the Office for National Statistics has found that the GPG is decreasing over time.

Although GPGR is predominantly about making changes towards equality, employers who violate the requirements will face enforcement action. The Equality Human Rights Commission ensure companies who breach the terms are held accountable and aim to deter non-compliance.

Employers must publish and report exact figures about their GPG, which express the difference in pay relative to male employees earnings. For example, ‘women earn 19% less than men per hour.’ The data and written statement must be published on their public-facing website and reported to the government.

The research below from Sage explains how to identify a gap and what the next steps should be for businesses

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