(6 years, 3 months ago)
Commons ChamberThat is a very good point. We are committed to looking not just at gender, but BAME and issues such as mental health. This reporting is opening up conversations about gender, as I say, but we hope that, as part of that, it will open up conversations about how employers treat their workforce generally and ensure that fairness is extended to everyone regardless, as the hon. Lady says, of gender, how they look and so on. One thing we are keen to do is to ensure that, as part of the reporting, employers put their action plans out there. About 48% of companies are already doing that. We would like them to do more.
It is good news and should be celebrated that 100% of eligible businesses have reported on the gender pay gap, but may I press the Minister further? What further steps will she take to see that action flows from the reporting of this gender pay gap?
Very much so. We have a packed agenda of meetings with business leaders but also with industry leaders, so that we can trickle down good practice from the largest employers, who obviously have the most resources in terms of HR departments and so on. We want to get the best practice from them and trickle it down so that we help those employers who under the legislation are required to report. My aspiration is also for employers who fall under that threshold to start adopting the same good practice as well.
(6 years, 8 months ago)
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As I said, the EHRC has set out its action plan, because it rightly has responsibility for enforcement after the deadline. It wrote to all the companies that had not complied on Monday 9 April. Since that date, more companies have complied. Let us not forget that it is not necessarily a question of businesses saying, “We have 250 or more employees—this is our gender pay gap.” Some of them will fall just shy of the threshold and so may declare themselves as not meeting the criteria. However, since that letter has gone out, their numbers may have gone up. We are reviewing this very carefully, and the EHRC has set out what it plans to do over the next 28 days in reviewing companies that have not complied and what it will do thereafter.
Would it not further focus minds if companies were required to provide an action statement along with the numbers that are being reported?
My hon. Friend highlights a point that has been raised before. At this stage, we are saying that it is best practice. The advantage of that, I hope, is that we bring businesses with us. In fairness, the vast majority of businesses want to do this. Let us not pretend that those in the corporate sector in the UK are against doing it—they are not. Indeed, the fact that the vast majority of them reported on time—indeed, some of them reported way ahead of time—suggests that they want to do it. That is because businesses know, as McKinsey’s most recent report showed, that if we sort out the gender gap, it has the potential to add £150 billion to our economy. That is a figure that we, and companies, are most interested in.