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Sex pay gap hits middle-earning women hardest Gender pay gap hits middle-earning women hardest
(about 4 hours later)
The latest figures on Britain's sex pay gap show that the disparity is widest among middle earners.The latest figures on Britain's sex pay gap show that the disparity is widest among middle earners.
In an in-depth examination of earnings across occupations, the Office for National Statistics figures show that the pay gap – which grew for full-time workers in 2013 to 15.7% from 14.8% the year before – runs right across the spectrum of education and qualifications but rises markedly among those who have good exam results at school but have not gone on to higher education.In an in-depth examination of earnings across occupations, the Office for National Statistics figures show that the pay gap – which grew for full-time workers in 2013 to 15.7% from 14.8% the year before – runs right across the spectrum of education and qualifications but rises markedly among those who have good exam results at school but have not gone on to higher education.
Women whose highest qualifications are at GCSE or standard grade level can expect to be paid on average 18% less an hour than their male counterparts – £9.52 to £11.87.Women whose highest qualifications are at GCSE or standard grade level can expect to be paid on average 18% less an hour than their male counterparts – £9.52 to £11.87.
For people with no qualifications at all, the gap is narrowest, 14.3%, with women earning £7.59 an hour and men £9.09.For people with no qualifications at all, the gap is narrowest, 14.3%, with women earning £7.59 an hour and men £9.09.
This weekend 46 years ago, the strike which helped usher in the Equal Pay Act was begun by 187 Essex women who were fed up earning almost half the salary of their male counterparts at the Ford Motor Company plant in Dagenham – a story made into the successful 2010 film, Made in Dagenham.This weekend 46 years ago, the strike which helped usher in the Equal Pay Act was begun by 187 Essex women who were fed up earning almost half the salary of their male counterparts at the Ford Motor Company plant in Dagenham – a story made into the successful 2010 film, Made in Dagenham.
The strike ended after Barbara Castle, then secretary of state for Employment, took up the women's cause to get them back to work. The women accepted a pay increase, still less than the men, but the regrading issue was not resolved until after another strike years later, in 1984, when they were finally classified as skilled workers.The strike ended after Barbara Castle, then secretary of state for Employment, took up the women's cause to get them back to work. The women accepted a pay increase, still less than the men, but the regrading issue was not resolved until after another strike years later, in 1984, when they were finally classified as skilled workers.
Gloria De Piero, shadow minister for women and equalities, said that it was horrifying that the anniversary of the start of the historic struggle of the Dagenham women should be marked by evidence of such persistant unfairness in pay in the workplace.Gloria De Piero, shadow minister for women and equalities, said that it was horrifying that the anniversary of the start of the historic struggle of the Dagenham women should be marked by evidence of such persistant unfairness in pay in the workplace.
"Forty-four years since the Equal Pay Act was passed and women are still earning 80p for every pound earned by a man," she said."Forty-four years since the Equal Pay Act was passed and women are still earning 80p for every pound earned by a man," she said.
"Whether women leave school at 16 or go right through to university they will still earn less than a man doing the same or equivalent job.""Whether women leave school at 16 or go right through to university they will still earn less than a man doing the same or equivalent job."
In the eight years between 2002 and 2010, the pay gap narrowed by just over 7% but it has slowly widened again year-on-year since.In the eight years between 2002 and 2010, the pay gap narrowed by just over 7% but it has slowly widened again year-on-year since.
"When Labour was in government, we closed the pay gap by 7.7%," said De Piero. "If this government had continued to close the gap at the same rate, women would earn an extra £177 a year.""When Labour was in government, we closed the pay gap by 7.7%," said De Piero. "If this government had continued to close the gap at the same rate, women would earn an extra £177 a year."
She said she would be pushing for more pay transparency so women could see if they were earning less and could challenge that.She said she would be pushing for more pay transparency so women could see if they were earning less and could challenge that.
Compulsory gender pay audits for businesses were scrapped by the coalition government. Although Theresa May, the home secretary, has appealed to firms to publish information voluntarily, few do. But businesses are "completely unable to deal with the importance of having women in the workforce", said Peter Prowse of Bradford University School of Management.Compulsory gender pay audits for businesses were scrapped by the coalition government. Although Theresa May, the home secretary, has appealed to firms to publish information voluntarily, few do. But businesses are "completely unable to deal with the importance of having women in the workforce", said Peter Prowse of Bradford University School of Management.
"The figures show huge gaps, but still managers are sticking their heads firmly in the sand over the damage they're doing to their business by enforcing inequality among their workforces," he said."The figures show huge gaps, but still managers are sticking their heads firmly in the sand over the damage they're doing to their business by enforcing inequality among their workforces," he said.
"It's incredible, for young graduates leaving Bradford, they'll maybe start at the same pay grade and then around the age of 25 male earnings just explode and there's this gap. Its ridiculous. By paying women less you're going to lose them, and companies who lose women lose business."It's incredible, for young graduates leaving Bradford, they'll maybe start at the same pay grade and then around the age of 25 male earnings just explode and there's this gap. Its ridiculous. By paying women less you're going to lose them, and companies who lose women lose business.
He added: "I tell all my female students, 'Don't stand for it. If you're employer doesn't treat you well, then move.'"He added: "I tell all my female students, 'Don't stand for it. If you're employer doesn't treat you well, then move.'"
In March a survey by PwC put Britain's overall record on equality in the workplace at 18th out of 27 nations in the the Organisation for Economic Co-operation and Development, and our pay gap is some 4% above the EU average.In March a survey by PwC put Britain's overall record on equality in the workplace at 18th out of 27 nations in the the Organisation for Economic Co-operation and Development, and our pay gap is some 4% above the EU average.
PwC economist Yong Jing Teow said: "It is disappointing that UK women's pace of progress in the labour market has been relatively poor since 2000. If we want to see a meaningful change to women's economic empowerment in the UK, we will have to speed up the rate of change; otherwise we risk falling further behind other high-income economies."PwC economist Yong Jing Teow said: "It is disappointing that UK women's pace of progress in the labour market has been relatively poor since 2000. If we want to see a meaningful change to women's economic empowerment in the UK, we will have to speed up the rate of change; otherwise we risk falling further behind other high-income economies."
The Chartered Management Institute last year produced a report showing male managers had earned on average bonuses twice as large as those of their female counterparts over the previous 12 months.The Chartered Management Institute last year produced a report showing male managers had earned on average bonuses twice as large as those of their female counterparts over the previous 12 months.
And figures released this year by HM Revenue & Customs showed self-employed women also earned around 40% less than self-employed men in 2012.And figures released this year by HM Revenue & Customs showed self-employed women also earned around 40% less than self-employed men in 2012.