Equal pay services
What are the issues?
The Government has made it mandatory for private sector employers with over 250 full time equivalent employees (including casual workers) to report on gender pay gaps within its organisation.
Whilst there are no specific penalties, non-compliance may amount to an “unlawful act”, enabling the Equality and Human Rights Commission to enforce any failure to comply.
In addition, as the data is publicly available, organisations should consider the reputational damage that could result from the failure to comply, as well as potential implications for recruitment.
Overall, the mandatory reporting has highlighted a wider and serious issue of equal pay structures. Even if pay gaps are narrow, if applied across large groups, going back six years (the limit for claims), the risks can be significant.
How can CLM help?
Businesses need to act to identify equal pay issues and then take steps to minimise potential claims and prevent future liabilities.
CLM is one of very few law firms to have created a fixed fee Equal Pay Audit & Advice service. For a fixed fee we will:
- Review staff and group them in terms of numbers and functions.
- Meet with your managers to assess the requirements of job roles (including the mental and physical demands.
- Create a specific dataset covering role, pay, bonuses and benefits.
- Provide a detailed report with an analysis of pay differentials by gender, grade, status, job title, department etc.
- Identify any areas of risk – grading them low, medium and high.
- Quantify the potential exposure in pay differentials over all roles – both annually and retrospectively over a six year period.
- Assess the number of potential claimants and likely compensation awards.
- Create an action plan to address the risks.
Building on the equal pay audit, we can support you in a number of ways in order to minimise any risks arising:
- HR support: we can provide expert advice on implementing steps to address any changes required, e.g. pay structure reform, together with helping create a manageable roll-out programme.
- Advocacy: we offer robust advocacy support in the event of any claims made against you by staff.
- Policy-making: we can help create effective employment policies, including job roles and pay structures, that are grounded on objective criteria, thus helping future-proof your liabilities.
- Communications: we can advise on how to best communicate with employees about changing job roles, grades or pay, to ensure that the process is handled in an empathetic but legally compliant way.
For expert advice and assistance on handling the issue of equal pay differentials, call our specialist employment lawyers on 01235 821115 or email email@example.com