An Edinburgh based data analytics specialist has launched a service designed to help organisations report their gender pay gap.
In February this year, new legislation was passed requiring organisations with 250 or more employees to publish their gender pay gap by 4 April 2018. Organisations are only required to produce six metrics, but Staffmetrix has found that the requirements maybe more complex than initially anticipated.
To simplify the reporting process, Staffmetrix has developed and launched an analytics platform and service to help organisations prepare their calculations and undertake further analysis of their data to support a narrative. In addition, the company has published two guides: “An introduction to gender pay gap reporting” and “Considerations in preparing for gender pay gap reporting”.
According to Anthony Horrigan, CEO of Staffmetrix, the reporting for many organisations is taking longer than initially anticipated. “While there are no financial penalties for not reporting, management should take their gender pay gap reports seriously and consider the wider positive aspects.
Even if an organisation has a larger gender pay gap than its peers, the report will provide the opportunity to highlight this to key stakeholders and inform them how the organisation will address it in the coming year. By doing so, they can demonstrate a proactive approach that will enhance the perception of their brand”.
The Staffmetrix gender pay gap reporting service is designed to help organisations turn their raw data into key insights which will provide context for the narrative. By using their platform to analyse the data, Staffmetrix can offer unique contextualisation that might not be readily available from other sources.
Horrigan also commented: “There are two aspects to the reporting. The organisation’s current situation and perhaps more importantly, how the organisation can modify its trajectory to achieve a greater balance in gender diversity that will ultimately lead to improvements in productivity and attractiveness as a place to work – and do business with.
Any changes must be evidence based otherwise it’s unlikely the organisation will know what to enhance to achieve progress. Examples include recruitment policy, talent management, flexible working practices or how management behaviours and goals are managed and measured”.
Greater transparency and published data on issues such as gender pay gap and diversity can also help organisations attract the best talent and demonstrate to current employees, customers, shareholders and investors that there is a will to change and ultimately improve. To help organisations understand how they compare to their peers, Staffmetrix also provides a benchmarking service.
In February this year, Aviva sent a letter to more than a dozen subcontractors that had failed to sign up to gender equality initiatives such as the 30% Club campaign and the Women in Finance Charter. The letter, which was sent to businesses including recruitment firms, suppliers and providers of insurance services, threatened to terminate their contracts.
In January this year, Willis Towers Watson announced that they will require fund managers to provide data about the gender composition of their firms. This requirement is being driven by local authority pension funds, some of whom are seeking better data on gender representation in roles below board level. Willis Towers Watson will use the data to determine in part, where they recommend their clients allocate their assets.
These developments highlight the increasing attention being placed on the gender pay gap and on diversity issues by private sector organisations. When combined with the governments reporting requirements, it will over time lead to positive change. It’s also likely that organisations not responding will find themselves at a growing disadvantage not just economically. It will impact their brand image and ability to attract the best talent.