New reports on gender representation and remuneration
21 Dec 2017
Continuing our extensive body of work on gender equality, IES has recently produced two new reports on gender remuneration and representation.
Firstly, a new IES case-study report considers how FDM Group, an international professional services organisation focusing on information technology, was able to almost eliminate its gender pay gap. With a zero per cent median wage gap, the organisation stands out in the technology sector and beyond as an example of the benefits that an open and diverse culture can bring.
The report offers important guidance for other employers hoping to reduce their wage gaps, with six key factors that employers can address to help eliminate gender pay gaps. These include genuinely diverse recruitment; a ‘grow your own’ approach to talent; leading by example; and an open, high-communications culture.
Elsewhere, E-reward has published new analysis of female remuneration and representation on FTSE 350 boards, with commentary from Duncan Brown, IES head of HR consultancy. The report and commentary present the relationship between remuneration and representation at senior levels, and suggests that, while the proportion of female directors is on an upward trend, for both executive and non-executive roles, women tend to be employed in positions of less responsibility and influence, and therefore of lower pay.
The analysis reveals how, although issues of gender pay discrepancies and female representation are linked, they are not interchangeable. The findings suggest that moving closer to equality on board representation may not in and of itself lead to greater gender pay parity, as many of the newly published gender pay gap reporting narratives seem to assume. Wider changes in government and employer policies may also be required, a conclusion also reached in IES’ research for the Equality and Human Rights Commission (EHRC) on what works in closing gender pay gaps.