The government has published draft legislation on gender pay reporting which will affect businesses with 250 employees or more.
Essentially, the changes mean that businesses with more than 250 employees will be required to publish their gender pay gap information on their website, confirming in a statement the accuracy of such information.
The aim of the new reporting obligation is to encourage employers to address all causes of the gender pay gap and to help achieve diversity, by requiring business to cover difference in pay between men and women, including starting salaries, average basic pay and total average earnings in their annual reports. Some employment businesses and umbrella companies that are caught by this new requirement may need to consider the best way of obtaining the necessary information to be able to prepare the report, especially as they would be obliged to divide their pay distribution into four bands and provide an indication of the number of men and women in each quartile.
Should you require any advice on this area, including what needs to be covered in the gender pay report and any specific deadlines, please contact Lawspeed on 01273 236 236.