Client
A design and manufacturing business operating in a number of countries including the UK.
Solution
- Reward Heads lead the process working closely with their People and Payroll team leads to ensure a transfer of knowledge for future reporting years.
- We reviewed all payroll elements to identify which should be included and ran the calculations to show the Gender Pay Gap position in the UK.
- We prepared and presented both the six reportable statistics and further analysis by grade and department, and coached the internal team to ensure they were ready for the following year's calculations. amework to address fairness, affordability, and consistency.
Challenge
Lack of clarity around gender pay gap position, lack of understanding of how the GPG regulations work.
Impact
- First time the business leaders had visibility of the Gender Pay gap position in the UK and possible reasons for this, allowing them to consider an action plan to lower their gap.
- Confidence that the internal People and Payroll team could continue to run the process in future years.
Context
The client operates in a number of countries including the UK. They had recently brought in a new Group CPO and as a business they were keen to get a better picture of their pay landscape. Part of this was a desire to understand their Gender Pay Gap position in order that they could start to take positive action even though they were not required to report as part of the regulations.
The Problem
- Wanted to understand their pay position and take positive action to make improvements but did not have the internal expertise to do this with any degree of confidence.
- Wanted to understand how the gender pay gap regulations worked in practice so that they could repeat the reporting annually and analyse movement in their results.
- Wanted to understand the size of the problem in the UK so they could look further out in the following years.
Which meant:
- Not being able to complete the identified analysis on the current position without external support.
- Going forward not having the expertise to manage future gender pay gap analysis internally.
The Tension
The client knew they needed to conduct gender pay gap analysis but lacked the knowledge to complete it.
What Reward Heads did
- Established which of the payroll elements were and were not to be utilised as part of the gender pay gap calculations, worked with HR and payroll to collate the data and address any queries.
- Designed a data collection template for their employee and payroll data.
- Performed the gender pay gap calculations and prepared a pack sharing both the six reportable statistics and further analysis by grade and department.
Business Impact
- Gender pay gap position known for the first time by business leaders.
- Root causes bring discussed at an Executive level.
- Opportunity to start taking action.
People Impact
- Better understanding of what the gender pay gap is and why it is present.
- Knowledge that the organisation is starting to take action.
Which resulted in …
Business Leaders could now take appropriate action to build an action plan that would improve the Gender Pay Gap.
HR and Payroll leads were now comfortable in repeating the exercise by using the templates that had been created, and the coaching they had received in the process.
If this feels familiar …
Gender Pay Gap reporting is an invaluable, but resource heavy and fairly complex process. As a result, organisations tend to avoid it until they have to, and even then it becomes a last-minute exercise leaving no time for robust action planning.
