According to Sir Philip Hampton, British companies that do not report on their gender pay gap figures by the deadline that is set on Wednesday should face “formal and public criticism.” Hampton led the review of the Government into women in business in 2017.
Rules on gender pay gap reporting are scheduled to come into force this week. It will require all UK firms that have at least 250 employees to report their wage gap figures between female and male workers.
The chairman of GlaxoSmithKline noted that so far, some of the numbers that were published had been quite “shocking” and it was questionable whether all the companies had been legally compliant on equal pay, which is a separate matter as to gender pay gap reporting and has already been around for decades.
Approximately 80 percent of the 9,000 eligible companies had already reported their pay gap figures by Thursday evening, causing the business leaders to call on the firms to get a move on.
The chairman of the Treasury select committee, Nicky Morgan MP, called on firms in financial services to report their numbers and not to “try to be clever with it.”
Some top law firms have already reported numbers that separate partners from secretarial roles so that the average gap appears to be lower.
Morgan added: “Sunlight is the best disinfectant.
“Talent is going to be aware when companies are being cute with their numbers.”
Generally, gender pay gaps exist since there are too few women that are employed in the most senior and best-paid positions.
While the number of all-male boards has already declined during recent years, there are still wide gaps in gender between very junior and senior positions. In 2016, there were more men that are named Steve, Stephen, or David that are leading a company in the FTSE 100 than there were female bosses.