Gender Pay Gap
All employers with more than 250 employees are legally required to annually disclose their gender pay gap information.
Outlined below is the statutory information we are required to disclose together with more information to provide the context of our results and our approach to closing the underlying gap. We welcome the requirement to publish this data as we feel it helps provide transparency and shines a spotlight on an important equality issue.
To view our 2017 Gender Pay Gap Report, please click here.
What Is The Gender Pay Gap?
A Gender Pay Gap is a measure of the difference in the average pay of men and women across the business, irrespective of their job role.
It is a broad measure as it captures the pay inequalities resulting from the differences in the sorts of jobs performed by men and women and the gender composition of the work by seniority. One of the main reasons for the gender pay gap in our society is that men are more likely to be in more senior roles, commanding higher salaries.
Gender Pay is different to Equal Pay but the two issues are often confused. Equal Pay concerns pay differences between individual or groups carrying out the same, similar or equivalent work. An employer that has eliminated unequal pay may still have a wide Gender Pay Gap and having a Gender Pay Gap does not mean that an employer has acted inappropriately or discriminatorily.
The Office for National Statistics report that the overall UK Gender Pay Gap for 2017 was 18.4%. This means that women typically earn nearly a fifth less than men and this Gap is even wider in occupations where women are typically under represented, such as senior level, engineering and technology roles.
We are confident that men and women are paid equally for doing equivalent jobs across all areas of our business and whilst we are pleased that we are significantly below the overall UK Gender Pay Gap average rate, we acknowledge that there is still more that can be done in this area.
The Gender Pay Gap Calculations
The Mean and Median Gaps
The Mean Gap shows the difference in the average hourly rate of pay between men and women. This is affected by the different numbers of men and women in different roles.
The Median Gap is the difference between the mid pay points for men and women. Imagine we lined all male employees in one line and all female employees in another in accordance with the salary they earn. The Median Gap is the difference in the pay of the male employee in the middle on his line and the female employee in the middle of hers.
The Pay Quartiles
Quartiles are calculated by listing the rates for every employee in the business from highest to lowest before splitting the list in to four equal sized groups and calculating the percentage of males and females in each.
The reasons behind the Gender Pay Gap are many, varied and complex and many of them are rooted in the wider norms in society, rather than specific actions within our business.
Typical causes include:
- Higher proportion of men in senior roles;
- Higher proportion of women in junior roles;
- Higher proportion of men in technical or engineering roles, which tend to be higher paid;
- Higher proportion of women in administrative roles, which tend to be lower paid;
- Women typically tend to dominate the part time roles, often because they are the primary carer;
- Women often take time out for family reasons and this can slow their progress to more senior roles;
- Part time working can harm progression as senior roles are often viewed as suitable for full time employees only.
Our Commitment To Inclusion & Progression For All
We understand that societal factors will impact on our business and often these will be, to an extent, outside of our control however we believe that there are positive actions we can take to help address and overcome these, including:
- Continuing to develop an organisational culture which ensures we value the best talent irrespective of gender and breakdown the stereotypical barriers and beliefs that traditional manufacturing should be a male dominant environment;
- Ensuring that all personnel involved in recruitment and promotion decisions have suitable and sufficient training and are aware of the risk of unconscious gender bias;
- Reviewing salary offers to ensure they are appropriate to the job role and in line with the applicable salary structure;
- Reviewing salary structures periodically to ensure they are appropriate to the job role;
- Challenging assumptions that some roles cannot be fulfilled on a part time or job share basis, particularly managerial level roles;
- Reviewing personal performance bonus structures to identify opportunities to reduce the risk of gender inequality;
- Ensuring that development opportunities are available to all employees according to their job role rather than their gender;
- Seeking to engage and attract female applicants in to under represented roles including managerial level and technical job roles;
- Striving to address the gender imbalance with Departments, where applicable, either through recruitment or development opportunities;
- Ensuring that those returning to the workplace e.g. following maternity leave etc., are given the same opportunities as all other employees and challenge any unconscious bias regarding career aspirations;
- Reviewing our flexible working arrangements to ensure that they support those with family commitments;
- Reviewing our family friendly policies to ensure that male employees are not discouraged from taking family related leave and sharing the responsibility;
- Supporting national activities from Government and education / training providers to encourage increases in female participation in STEM subjects.
As Financial Director of Orangebox I, Remo Vernaschi, can confirm that the data reported is accurate and has been calculated in accordance with the applicable legislation.