Gap

According to recent data, the number of employers in the United Kingdom who voluntarily disclose ethnicity pay gap data has dropped.

If the voluntary approach fails, the government expects companies to “take meaningful action to identify and then tackle the causes of disparate pay” once the guidelines has provided them with “a trustworthy, consistent standard for reporting.” The UK government had a consultation on this in 2018, and the House of Commons Women and Equalities Committee recently recommended that big companies reveal ethnicity pay gaps starting in April 2023. On March 17, the government released its response to Dr. Tony Sewell’s Commission on Race and Ethnic Disparities’ far broader findings.

A Conservative MP has blasted the government for its “lack of will” to tackle racial disparities after ministers refused to introduce mandatory ethnicity ...

Introducing mandatory ethnicity pay gap reporting for larger businesses would set the ball rolling reducing inequalities between different ethnic groups. In the committee’s February report, several incentives were provided for adopting the mandate. Start your Independent Premium subscription today.

It argued that mandatory reporting would help address pay disparities between employees from different ethnic backgrounds. The government has backtracked on the ...

It makes clear that what is lacking in this administration is not resource or knowhow, but the will or care to foster a fairer and more equal society.” It may not be the most appropriate tool for every type of employer seeking to ensure fairness in the workplace.” In 2018 the Department for Business, Energy and Industrial Strategy launched a consultation that stated: “The government believes it is time to move to mandatory ethnicity pay reporting.” The consultation closed in January 2019, but the government is yet to publish a response.

The Government rejects calls of cross-party MPs to introduce mandatory ethnicity pay gap reporting.

Introducing mandatory ethnicity pay gap reporting for larger businesses would set the ball rolling reducing inequalities between different ethnic groups. The MPs' report found that the introduction of ethnicity pay gap reporting would be the 'first step' to addressing pay disparities between employees from different ethnic backgrounds. The response also discounts the Government’s commitment in a 2018 BEIS consultation, which stated that ‘the government believes it is time to move to mandatory ethnicity pay reporting’.