Gender Pay: New Regulations

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The long awaited final version of the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 (the “Regulations”) has now been published, however it does not come into force until 6 April 2017.

The purpose behind the Regulations are to set out how employers should calculate and report on the gender pay gap within their organisation. Organisations within the private sector who have 250 or more employees must publish the mean and median hourly pay gap between men and women. Employers must further disclose the annual gap in relation to bonuses and publish the percentage of male and female employees who were in receipt of any bonus each year. Finally they must calculate and publish the proportion of men and women working at each quartile of the organisation’s pay distribution.

The term “Employee” has been granted a wide definition, covering those who are self-employed, apprentices and workers who have a contract personally to do work. Consequently, employers must be careful when determining whether or not they fall within the Regulations, as more workers are likely to count towards the 250- employee threshold.

Employers are required to publish the figures on the organisations website and submit evidence of compliance annually to the Government. In terms of addressing the gender pay gap issues, it may be beneficial for organisations to update, where necessary, any of their policies to reflect such changes.

For any further information please contact a member of the Forbes Employment Team on 0800 689 0831. Alternatively send any question through to Forbes Solicitors via our online Contact Form.

 

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