The CIPD has today reported its Gender Pay Gap figures for the second year of mandatory reporting.
Since 2017, any organisation employing 250 or more employees has been required to publicly report its gender pay gap, showing the difference in the average earnings between all men and women in an organisation.
In this second year of the requirement, the CIPD is reporting a mean gender pay gap of 15.7% and a median gender pay gap of 7.6%.
Our mean gender pay gap has increased by 0.8 percentage points since our 2017 report and our median gender pay gap has decreased by 3.2 percentage points.
The CIPD’s analysis for this year’s figures found that:
- The slight increase in the mean gender pay gap can be attributed to changes that occurred within the senior leadership team over the past year. The CIPD has a predominantly female workforce with 201 women and 95 men. As with last year, women are well-represented at every level of the CIPD but there are a greater proportion of men in the upper middle and upper pay quartiles, which contributes to our gender pay gap.
- The decrease in the median gender pay gap can be attributed to the actions that the organisation has taken to better manage pay ranges and pay equality across all our job bands.
- Changes to our bonus system between 2017 and 2018 resulted in a bonus pay gap of 3.0% mean (down from 16.0% in 2017) and a 30.0% median pay gap (up from 17.6% in 2017). The median increase reflects the fact that half the men who received a payment were in the upper pay quartile, compared with a fifth of women.
In the first year of reporting, the CIPD identified three main areas where activity would be focused in order to narrow its gender pay gap: introducing gender pay gap analysis into management processes, tackling gender balance in the organisation and championing flexible working for all.
We have put several initiatives in place to ensure that we are making progress against all of these areas in this reporting year and beyond. These include using dedicated tools to reduce bias and track progress on pay decisions. The CIPD is also training employees across the business to approach recruitment and progression decisions in a way which reduces the potential for bias.
Peter Cheese, CIPD Chief Executive, comments: “We’re proud to be an early reporter again in this second year of gender pay gap reporting, and to share the steps we have taken to reduce the gender pay gap at the CIPD. The first year of reporting undoubtedly helped us and businesses in general to shine a light on how and where decisions are being made, in relation to pay, development and job design, all of which can have an impact on the gender pay gap.
"However, there is no room for complacency. We recognise that good intentions are not enough and that we must also have checks and balances in place to ensure that the outcome of these actions is making a difference to our gender pay gap, and to our people. This is something that we have built into our processes and will be monitoring throughout the year.
"By gathering and acting on workforce data, businesses can create fairer, more inclusive workforces that attract a range of talent and enable their people to flourish. We are committed to championing this within the CIPD and in the broader world of work."
Championing better work and working lives
About the CIPD
At the CIPD, we champion better work and working lives. We help organisations to thrive by focusing on their people, supporting economies and society for the future. We lead debate as the voice for everyone wanting a better world of work.