Equal Pay and the Gender Pay Gap

Carolyn Harris Excerpts

Wednesday 1st July 2015 Commons Chamber

[Nicky Morgan]

I entirely agree. There has been a lot of focus on non-executive positions. The next place to look and on which to work with businesses is the executive pipeline. The hon. Lady is right. Whether we are talking about the education sector, parliamentarians or business, growing that internal talent, working to keep people in the workplace and to promote them is so important.

We have been actively working in partnership with business through the Think, Act, Report initiative. Nearly 300 companies, employing over 2.5 million people, are committed to that initiative, leading the way on gender equality. Those are just some of the steps we have taken in recent years.

We have also strengthened the law so that where an employer has been found by a tribunal to have breached the equal pay or pay-related sex discrimination provisions in the Equality Act 2010, they are now required to conduct and publish an equal pay audit.

[Carolyn Harris (Swansea East) (Lab)]

Since the Government introduced fees for tribunals, the number of unequal pay cases has fallen by 68%. If the Government are committed to tackling the gender pay gap, why are they making it much harder for women to challenge pay discrimination?

[Nicky Morgan]

I am not sure the hon. Lady was here earlier when we talked about employment tribunals, the changes made under the previous Government and the reasons for those, but I can confirm that in June we announced the start of the post-implementation review of the introduction of fees in employment tribunals. I know that the Minister will be listening carefully, given her interest and work in the Ministry of Justice.

--- Later in debate ---

[Angela Crawley (Lanark and Hamilton East) (SNP)]

I echo the sentiments of my hon. Friend the Member for Livingston (Hannah Bardell) in congratulating the First Minister on making top place in the list of the 100 most powerful and influential women in the UK. I also recognise the work of the Scottish Government in creating a 50:50 Cabinet, and the importance of ensuring that this Chamber, and all Chambers of democracy, receive 50:50 representation.

It is my pleasure to speak in this important debate and to open on behalf of my party. I regret that, in this day and age, this debate has to take place, but it does and I welcome the consensus from all parties on the fact that progress has to be made. Across my constituency, I have met many women who say life is still tough for them and their families. They say that, despite the optimistic forecasts from the Chancellor, the recovery he speaks of is not reaching their pay packet. In fact, a report last year showed that it could be almost 100 years until women can expect to be paid the same as men—this while three quarters of company directors, three quarters of MPs and more than three quarters of national newspaper editors are men. That simply is not good enough and more action needs to be taken. More than 40 years after the Equal Pay Act 1970, the pay gap between men and women in the UK remains substantial.

[Carolyn Harris]

The gender pay gap in Scotland has risen by 0.2% under the SNP. Why does the hon. Lady believe that her Government in Holyrood are failing so badly?

[Angela Crawley]

I thank the hon. Lady for her intervention, but she is in fact mistaken, as the gap has reduced to 17.4%.

The gender pay gap is not a surprise, as it is women who bear the brunt of the Government’s welfare cuts. But devolution has proved to be a success. It has shown that when the Scottish Government have the power, they take action. The Scottish National party Government are the first Administration ever to pay the living wage to all employees covered by their pay policy—something that has yet to be replicated by the UK Government.

Last year, the Scottish Government’s Finance Secretary, John Swinney, announced that the living wage would rise to £7.85 per hour. My message is clear: giving the Scottish Government powers over employment policy would benefit thousands of women across Scotland and the UK and bring about real progress in tackling low pay. The SNP Scottish Government have taken great steps to help parents, especially mothers, back into work or education by extending access to childcare. Provision for three and four-year-olds is up 45% since the SNP took office in 2007, saving families up to £707 per child. The entitlement has been extended to thousands of two-year-olds from Scotland’s most disadvantaged families. Some of the powers that we need to go further remain in this Parliament.

If the UK Government are not willing to take action on equal pay, they should not stand in the way of the Scottish Government. They should give the Scottish Parliament the powers it needs to make real change. As parliamentarians, we have a duty to ensure that, once and for all, pay inequality is a thing of the past. But the problem of unequal pay extends beyond this Conservative Government. The Labour party may talk a good game on equal pay, but the facts tell a different story.

South Lanarkshire council, on which I was a councillor before I joined this House, has a Labour majority, but the gender pay gap is a staggering 16%, and substantially more men than women are in higher grade posts. It was only a year ago that the council had to make a £75 million pay-out mainly to female workers in the equal pay scandal that has swept many local authorities. This situation is simply unacceptable and the Labour party in South Lanarkshire must get its act together when it comes to paying women the same as men.

Thanks to my colleagues in the Scottish Parliament, new labour market figures published a few weeks ago showed that female employment in Scotland has reached a record high. They reported that female employment now stands at 72.5%, that youth unemployment is at its lowest level in six years and that the number of people in work continues to grow. That is a testament to the strong action taken by the SNP Government with the economic powers that they currently hold, which is exactly why we need more economic powers to be transferred. We should have the power to create even more jobs and better jobs for women, rather than the current situation where those powers are held by the UK Government. The SNP Government have proved their record on gender equality. They have proved their commitment to equality in the workplace, which is why they should and must be given the power to build on their success.