UK employers will need to publish race pay gap figures

With the proposed law, the UK government aims to tackle the lack of social mobility among ethnic minorities.
By: | October 17, 2018
Topics: Employment Law | Europe | News


In new plans unveiled by UK Prime Minister Theresa May, employers will be required to reveal race pay gap to help with ethnic minority representation in the workplace.

This follows a year since the government published findings of its Race Disparity Audit that uncovered how various ethnic groups are generally treated.

These measures are being enforced across the public and private sector, even as May has been increasingly challenged to take action on her commitment to social equality.

A race at work charter will be signed by high-profile public bodies and big employers such as the National Health Service of England, KPMG, and Saatchi & Saatchi, providing clear guidelines that will help create greater opportunities for ethnic minority employees at work, and boost diversity in leadership roles.

Employers with more than 250 employees have been invited to share their views on such mandatory pay reporting.

According to an audit launched by London’s mayor, Sadiq Khan, it was found that black, Asian and ethnic minority employees were paid up to 37% less on average than their white counterparts.

In addition, minority employees often “feel they’re hitting a brick wall when it comes to career progression”, May said.

Considering that the number of organisations revealing the information remains low, the lack of data could be holding people back.

“Our focus is now on making sure the UK’s organisations, boardrooms and senior management teams are truly reflective of the workplaces they manage, and the measures we are taking today will help employers identify the actions needed to create a fairer and more diverse workforce.”