Gender Pay Gap Reporting - CIPP policy whitepaper

THE F IRST YEAR THROUGH THE LENS OF THE PAYROLL INDUSTRY

Case studies from payroll

The team leading this research, and at the CIPP roundtable, were impressed by the total commitment and engagement shown by members of the profession to this policy and to the mandation of gender pay gap reporting.

Case study 1 - private sector

“What a wonderful rollercoaster the first year has been! I started quite ‘green’, believing this would be an excellent opportunity to both influence change and sing our praises in terms of equal pay practices, but alas not quite there yet. We felt like a fair and equal employer, but this has been an educational journey, particularly the bigger picture into equality, unconscious bias, organisational management behaviours and culture. The biggest hurdle I have faced is in educating our senior board to the seriousness of this analysis and the investment required to deliver change. Let’s see what effect the ripples have once we have published, I’m sure that will drive it forwards.” This comment comes from a payroll manager working in IT in the private sector. They started looking at the gender pay gap requirements in October 2016 when guidance was first published and completed their analysis in July 2017. This revealed a gender pay gap, somewhat larger than the UK average. The analysis along with a strategic plan and recommendations were presented to line managers and board members in November 2017 but unfortunately, until recently there has been little buy in at a senior level and thus further investment. “As our gap is significant, I personally am very concerned as to the impact, particularly with our employees and our industry in general. Managing the message will be the hardest part of this exercise which we need to get absolutely right. I would like to see my recommendations for a strategic plan to be agreed so we can start influencing change where changes are needed.... without that investment I am concerned this will turn into a damage limitation exercise rather than the recruitment/retention tool we had hoped it would be originally.” It would seem that due to the media attention the hierarchy have begun to sit up and take notice. Some progress has been made, such as revising their family-related policies to make them more flexible to all employees. However the payroll manager would like to see further commitment from more of senior management in addressing their pay gap. A full equal pay audit is needed, facilitating career pathways and re-educating line-managers/recruiters etc.

Case study 2 – software development

Software developers need regulations that are finalised and that deliver the policy intent. And they need them delivered in a timely manner, for significant change such as that required with gender pay gap reporting, 18 months lead time would be the minimum required however, and as was demonstrated above, this wasn’t delivered on this occasion. Non-statutory guidance is also important in as much as it demonstrates the first interpretation by the department that owns the policy, of how they believe the regulations should be understood. The ultimate interpretation of the law occurs in the court room, but guidance at this stage is vital.

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THE CHARTERED INSTITUTE OF PAYROLL PROFESSIONALS

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