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Black and Asian workers ‘paid 16% less than white people’

11/01/2022
All Regions, UK

Ethnicity pay gap reporting is not mandatory

Research by People Like Us and Censuswide has revealed that workers from Black, Asian, mixed-race and minority ethnic backgrounds only earn 84% of what their white counterparts are paid. This is 16% less and equates to losing up to £255,000 pounds every year.

The findings also revealed that people from racially diverse backgrounds are passed over for pay rises – and this happens more frequently the more senior they become with a third passed over at entry level. This figure is more than half at senior manager and director level. 

According to the research 59% of racially diverse respondents believe this ‘progressional glass ceiling’ is down to the colour of their skin. With the pandemic shining a spotlight on diversity and inclusion in the workplace, it’s important that HR teams need to review their pay structures.

Darren Hockley, Managing Director at DeltaNet International commented:

“The sheer fact that ethnic minority workers are paid 16% less than their white colleagues shows the reality that ethnicity pay gaps continue to exist in organisations. HR teams and business leaders in the UK have a long way to go. While it’s still not mandatory for ethnicity pay gap reporting, some organisations such as PwC are already publishing them to be transparent. The findings clearly show that HR teams must start doing ethnicity pay gap reporting as it will give them the push they need to review their pay structures and question themselves if they are doing enough to address the pay gap. Reporting is the best way to start improving racial equality in the workplace. 

“Organisations must understand the benefits of diversity and inclusion, and this means everyone, regardless of ethnicity, are getting paid their worth. For organisations to retain their best talent and ensure their business continues to prosper, it’s high time business leaders focus on addressing all pay gap issues, including gender and ethnicity. Business leaders ought to undertake unconscious bias and diversity and inclusion training to ensure everyone within their business are not under-represented and paid below their worth.”

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DE&I, DeltaNet International, Ethnicity, Pay
Categories Employers

54% of employees close to burnout

08/09/2021
All Regions, EMEA, UK

Staff wellbeing tops employee concerns

A recent report called the Healthier Nation Index published by Nuffield Health stated that more employees are demanding that their employers take more responsibility for their physical and mental wellbeing.

 The research found:

More than 21% of those surveyed (8,000 respondents) believed employers should implement mandatory reporting on the physical and wellbeing initiatives they have in place to improve the wellbeing of their staff

52% stated that they were aware of the measures they could take to improve their mental and physical health
37% stated that employers should take responsibility by making resources available on how to boost mental and physical wellbeing
46% said that free health checks for all staff should be provided by employers
54% said that work was having a negative impact on their mental health
Half of those surveyed stated that their workload created a barrier to undertaking physical exercise.

 Darren Hockley, Managing Director at  DeltaNet International commented: “Improving both mental and physical health is rising up the corporate agenda. If employees feel overworked or stressed, then they won’t be as happy or productive. This will only lead to other issues for the company, such as sick leave or them resigning and moving to another organisation that prioritises wellbeing.   

 “Mandatory reporting on physical and wellbeing initiatives is a great way for organisations to take more responsibility for their employees. Offering that support through wellbeing seminars, mental health and wellbeing training or even mental health support where staff can talk to a specialist can make a significant difference to employees.” 

Extra leave given in support of mental health

Nike recently announced that their head office employees will be given a week’s holiday in support of their mental health.

Suzanne Staunton, Employment Partner at JMW Solicitors, commented: “It is unlikely that (many) UK employers will provide their staff with a week’s mental health break. However, anecdotally, over the past 12 months, we saw that number of employers have given staff a day or two additional mental health days or an extra day holiday. Those employers who implemented such schemes reported an increase in morale and productivity.”

Returning to work post “freedom day”

Data published in the Supporting Your Remote Workforce in 2021 and Beyond report found that 40% of those who are returning to office-based working are concerned about contracting COVID-19 from colleagues.

Data from CPD Online College reported that the top concerns for those returning to the workplace were: social distancing (60%), workplace safety (56%), and workplace cleanliness (55%) at the top of the list.

With these employees concerns in mind, it is imperative that HR and employers think about how to properly support staff wellbeing when staff returns to the office, as well as how to help alleviate their concerns.

Liz Forte, Health and Wellness Director at Compass Group Business and Industry, shared three top tips:

Embrace the hybrid office: the hybrid should be seen to inspire staff to work together again and reconnect. This could assist with easing staff back into office life. Because there is a clear shift towards employees wanting a hybrid way of working, offering this to staff is a great way to encourage them to split their time between home and the office, thereby getting the best of both worlds.
Be aware of anxieties: Forte explains that it is crucial to be aware of your employee’s anxieties and concerns. Employers should communicate cleaning protocols and implementing visible cleaning teams during working hours could put staff at ease.
Support staff lives: providing work perks that encourage living a healthy life outside of work and that also support health and wellbeing will help improve performance as staff return to their desks. Offering classes which give employees the opportunity to try new hobbies or skills add to a positive experience at work. Data has shown that this could also be a good tool for attracting and retaining talent.

Photo Courtesy of Canva.com

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DeltaNet International, Employee Wellbeing, Hybrid working, Mental Health, Wellbeing
Categories Employers

UK’s biggest firms aspire to end ‘boys club’

31/08/2021
All Regions, UK

Female board members earn almost half of male counterparts

Research published by New Street Consulting Group revealed that female board members at some of the UK’s largest companies are paid around 40% less than men in the same roles.

While equal pay has been in sharp focus over the last few years, data revealed that the gender pay gap is the widest in the c-suite of corporate Britain. On average, women earned £104,800 for non-executive roles at FTSE 100 companies last year, compared with an average of £170,400 paid to men. For executive board members, average pay was £2.5m for men and £1.5m for women.

In the broader market, women were paid 15.5% less than men, according to 2020 data from the Office for National Statistics.

Darren Hockley, Managing Director at DeltaNet International commented: Despite discussions of the gender pay gap over recent years, and the introduction of gender pay gap reporting, it’s clear that FTSE 100 organisations are still not doing enough to tackle the issue – especially when there’s a 40% difference. The fact is that unconscious bias remains, and organisations must tackle diversity and equality issues by supporting staff with training. HR must work more closely with executive teams to address equal and fair pay to stamp out social injustice.

“Pay equality responsibility does not just lie with HR; it requires support from everyone in the organisation in order to be addressed. So, more executives need to step up and become an ally for their female colleagues. If they are aware of injustice, then they need to speak up and support their female colleagues to get paid what they deserve.”

40% club

The Financial Conduct Authority recently suggested that UK companies should ensure that at least 40% of board level roles and a minimum of one senior executive role are held by women.

New Street Consulting Director Claire Carter, said “Focusing solely on the percentages of directors that are women is not enough when trying to approach equality.”

The government-backed review of board diversity, the Hampton-Alexander review found that, across the FTSE 350, women now held its 2020 target of an average of 33% board roles. But 130 businesses fell short of this target. Senior board roles remained male dominated, with just 14% of executive directorships held by women. Just 17 chief executives across the FTSE 350 are women.

Most businesses are doing their best to ensure they’re no longer a ‘boys club’ even if the reality of their demographics didn’t live up to aspirations, said Carter.

“The key to doing that will be ensuring that women have more executive responsibilities and are trained and prepared properly for taking on that responsibility,” she said. “It will be a case of their examining whether there are any barriers that are preventing females from reaching the very top at their organisation.”

Photo courtesy of Canva.com

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DeltaNet International, Gender bias, New Street, Pay
Categories Employers

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Black and Asian workers ‘paid 16% less than white people’

54% of employees close to burnout

UK’s biggest firms aspire to end ‘boys club’