Are you gender pay gap ready?The final draft of the Gender Pay Gap Information Regulations has been published, along with a short note explaining what each of the regulations mean and what employers need to do. Depending on getting Parliaments approval, these will come into force on 6th April 2017. The regulations apply to any private or voluntary sector employer with 250 or more employees, and the first data will need to be published by 4th April 2018.
The aims of the regulations are to make people more aware of the pay gap issue and hopefully move towards narrowing the gap. David Cameron promised in 2015 that his government would close the pay gap in a generation.
Employers will need to identify whether the obligations apply to them and which members of their workforce will need to be included, bearing in mind employee status and any exclusions mentioned in the regulations. They will also need to plan ahead in regards to gathering and calculating the information which needs to be published. Employers may wish to carry out an internal calculation beforehand to assess the data and consider how this may reflect on the business when made public.
Although the main points are set out above, the full regulations and explanatory note can be found here: http://www.legislation.gov.uk/ukdsi/2017/9780111152010.
It has been suggested that the regulations will be reviewed within five years. The review will consider whether the regulations have been successful in narrowing the gap and also whether businesses are complying with their reporting duties. Although there is currently no civil penalty for not publishing, there could be one imposed in the future if employers fail to comply.
If you are a Jelf Risk Management client and these regulations apply to your business, please get in touch with your dedicated contact, who can assist with setting out a plan and putting it into practice.
If you are not currently a client but would like assistance, please call 0345 040 0002 and ask for the Employment Law team.
The Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.
Explanatory Memorandum to the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.