Ethnicity Pay Gap

Baroness Manzoor Excerpts

Thursday 25th April 2024 Lords Chamber

[Baroness Barran (Con)]

I will give a couple of examples. First, there was the work the Government did in 2019, when we engaged with a broad range of businesses to understand the complexities of implementing mandatory reporting in this area. It genuinely showed just how complicated it was to do. That was echoed in the Inclusive Britain report chaired by my noble friend Lord Sewell, which brought out a number of points including, critically, the difference between the ethnicity pay gap of those born in this country and those who are not born here, with which I am sure the noble Baroness is familiar.

[Baroness Manzoor (Con)]

My Lords, I have some empathy with the point made by the noble Baroness, Lady Thornton. There are disparities in pay for ethnic minorities. There are also disparities in senior and board-level positions, where there are targets for women but fewer targets for people from ethnic minorities. If we looked at individual groups within ethnicity, we would never bring about the changes. It is an argument that my noble friend could ask the department to look at again, so that we can move forward and ensure that we can reduce the inequalities that currently exist.

[Baroness Barran (Con)]

I am more than happy to take this back to the department and share my noble friend’s reflections, but I remind the House that there is no ethnicity pay gap for people born in this country from roughly half the ethnic-minority groups. In fact, in a number of cases there is a pay gap in the other direction. The issue is much greater for those not born in the UK, and there we need to understand to what extent that reflects level of qualification, level of language, age and a number of other factors.